Czech stocks reversed earlier losses as Erste Group Bank AG (RBAG) of Austria increased after the regulators said the company exceeded capital reserve targets.
The 14-company PX (PX) gauge rose 0.3 percent to 906.90 today by the end of trading in Prague, after earlier sliding as much as 0.7 percent. Erste, which has a 20 percent weighting in the index, climbed 1 percent, reversing an earlier 2.2 percent loss.
Financial stocks gained in Europe after the European Banking Authority said today that the region’s banks increased their capital reserves by $116 billion in the first half of 2012 in a push to limit contagion from the euro area’s sovereign crisis. Erste exceeded the capital targets, according to the Austrian Central Bank and Financial Markets Authority.
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