Value of Stocks in Iceland Plummet

The value of stocks on the OMX-NASDAQ Nordic Stock Exchange in Iceland continues to plummet after markets reopened earlier this week. The selected share index dropped by three percent yesterday and has now reached a record low at 658 points.

In mid-summer last year the selected share index on the Iceland stock exchange peaked at 9,000 points, after constant increase from August 2006. The current situation on the stock exchange can largely be explained by the nationalization of Iceland’s three largest banks last week, which used to substantiate a major part of the index, ruv.is reports.

Eight companies were traded on the stock exchange yesterday.

The value of shares in shipping company Eimskip took a 67 percent dive, with its value decreasing by around 100 percent this year. Eimskip ran into trouble last month when its subsidiary in the UK, XL Leisure Group, went bankrupt.

The value of Bakkavör, a food processing company, dropped by 6.3 percent and the stocks in Icelandair by 2.3 percent. Marel Food Systems experienced a decrease in value by 0.4 percent.

However, two Faroese companies that are listed on the Iceland stock exchange, Eik Bank and Atlantic Petroleum, saw a sharp upswing in value, by 43 percent and 40 percent, respectively.

icelandreview.com