Bel20 recaptures the 4,000 points mark

For the first time in two years, the Brussels indicator can rise above 4,000 points again. The index has performed significantly stronger than its neighboring indices in recent weeks.

The Bel20

opens 0.6 percent higher at 4,020 points on Wednesday morning, thus crossing a symbolic limit. It has been since May 17, 2022 that the Bel20 recorded above 4,000 points. The indicator was able to recover thanks to better-than-expected figures from heavyweight AB InBev, which opened 4.2 percent higher.

However, a record score is not yet in sight. The all-time high of 4,639 points was set at the end of June 2007. While the Bel20 is still 14 percent below the record, the Dutch AEX index shot above 900 points for the first time on Tuesday.

The Belgian stock market index lagged behind in Europe for a long time, but since the beginning of 2024 the Bel20 has risen 7.5 percent, in line with the European average (+7.4%). A difference has emerged, especially in recent weeks, with Brussels performing significantly better than its neighboring indices. The Bel20 gained 3.8 percent in the last month, leaving Amsterdam (+1.7%), Paris (-0.5%) and Frankfurt (+0.6%) behind.

Solvay is one of the best performers in Brussels this year with a gain of 31 percent since the start of the year. The pharmaceutical group UCB

is the leader (+52%) thanks to the favorable first sales of its psoriasis drug Bimzelx in the United States. Also the car holding company D’Ieteren (+24%) and the banking group KBC (+22%) are among the leaders.

The hope of interest rate drops puts pressure on long-term interest rates, which therefore plays into the hands of Bel20. Real estate shares will remain among the worst performers in the Bel20 in 2024, with an annual loss for the warehouse landlord WDP

and the office and healthcare specialist Cofinimmo

of 8 percent. Materials group Umicore

(-10%), chip designer Melexis

(-10%), utility group Elijah

(-15%) and Galapagos

(-27%) are doing even worse.