The Polish stock market, specifically the WIG20 index, has been experiencing notable declines since the second half of last week. As of mid-day on Tuesday, the index is down by 1.2%, largely due to the underwhelming performance of major companies, with KGHM seeing its stock price drop below 300 PLN. The banking sector is also struggling, as all major banks are showing losses. The only stock showing any gain is the Pepco Group, which has increased in value by just 0.8%. Meanwhile, medium and small company indices are also on the decline, though at lesser rates of 0.8% and 0.3% respectively.

The WIG20 index had previously formed an equilateral triangle in mid-February, but recently broke out on the downside. Analysts suggest that a key support level lies around the 3300 points mark, which had served as a consolidation upper limit in January. This level now offers some hope for stemming the ongoing declines. Meanwhile, global market conditions are also shaky, especially in the U.S. market, which is returning from a holiday break and is forecasted to face a difficult trading session based on futures contracts indicating challenging beginnings.

At this time, investors are watching the Polish market closely as the pressures from global economic conditions and company performances converge, raising concerns about the sustainability of the current market trend. Market participants are advised to stay vigilant as further volatility could be on the horizon amidst these uncertain conditions.