KSE drops 122 points, closes in red zone at 6,822 points


31/01/2011 00:00 AST  Al Watan

Several major portfolios in the market have took advantage of demonstrations and political turmoil in Egypt in addition to sharp decrease that affected the indices of most financial markets in the region, by deliberate and professional action to pressurize price index of Kuwait Stock Exchange (KSE) to lose altitude by 122 points. The focused selling action to skim profits and changing positions by gathering shares at low prices has dominated Sunday's dealing session, which also resulted in decreasing the weight index by 9.5 points due to heavy selling that targeted heavy weight, operational and leading shares in all sectors of KSE.

Most of technical parameters have witnessed a decrease except of liquidity which increased to the level of 58.8 million Kuwaiti dinars by trading around 381 million shares. Spectators believe that the sharp decline of most sectors is over exaggerated and it is temporary as shares will jump back to their normal prices similar to noticeable increase witnessed by the Saudi market after its record decline seen on Saturday.

Banking sector

The sharp decline in prices of banking shares did not stop a keen action of buying to gather shares of several promising banks including the National Bank of Kuwait (NBK), Kuwait Finance House (KFH) and Kuwait International Bank (KIB). The support of the national portfolio to the banking sector was noticeable and contributed in stabilizing the prices of most shares at this vital sector.

Investment and Real Estate sectors

Market spectators affirmed that the sectors of investments and real estate are the first to react by any major local or international event, these two sectors were the first in losing altitude especially that major portfolios have used these sectors to terrify traders and force them to sell. Source believe that one of these portfolios belong to a local bank in addition to an investment company, which is not enlisted in the market have triggered the selling action in the market to repurchase shares at lower prices. The source added that the selling action is misleading and deliberate because it included promising, operational and weak shares at the same time, however some shares were not affected, such as Kuwait Financial Center, A'ayan Leasing & Investment Company, Kuwait Project Company (Holding), and Mabanee Company.

For more on this Click Here

Market News
2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | News Archive

JAN | FEB | MAR | APR
Most Viewed Companies
Ticker Price Volume
GFH 0.21
SECO 14.74 5,260,462
ADIB 6.78 826,911
DARALARKAN 12.5 47,357,023
NBAD 15.05 1,349,794
MASQ 120
BARKA 0.78
Recent News

Trade negotiators struggle ahead of US-Japan summit
Tokyo TALKS between the United States and Japan aimed at a trade deal seen as vital to a broader regional pact are in stalemate, Japan's economy minister said, as negotiators struggle to narrow gaps

Wall Street Weekahead - Spring fever brings hope for US earnings
Earnings season shifts into high gear next week, and with nearly one-third of S&P 500 names set to post results, investors hope the news provides a catalyst to buy stocks and leave the market's rece

India’s forex reserves rise to $309.44bn as of April 11
MUMBAI: India's foreign exchange reserves rose to $309.44 billion as of April 11 from $306.65 billion in the week earlier, the Reserve Bank of India said on Friday.

Changes in foreign curr

Japan's consumer inflation set to reach five-year high
Core consumer prices in Tokyo, a leading indicator of nationwide inflation, appear to have risen by the largest amount for 22 years in April after an increase in Japan's sales tax drove up prices, a

Gold Drops on U.S. Economy; Platinum Falls on Labor Talks
Gold futures fell as signs of gains in the U.S. economy eroded demand for the metal. Platinum dropped amid signs of progress in the labor dispute in South Africa, the world’s biggest producer.

GulfBase GCC Index
Search By
  • Company Symbol
  • Company Name
  • Mutual Fund Name
  • News Content
Send this page to a friend

Poll

Are you satisfied with your full-service broker?