KSE ends week green despite sluggish activity

08/08/2010 00:00 AST

For the fifth successive week, Kuwait Stock Exchange (KSE) ended the week in the green zone. Both of the market main indices recorded gains despite the retreatment of KSE trading activities indicators. The market price index ended last week with an increase amounted to 0.17 percent, while the weighted index raised by 0.25 percent compared to the closings of the week before. In the contrary, last week's average daily turnover declined by 33.69 percent, compared to previous week, to reach 27.12 million Kuwaiti dinars, whereas trading volume average was 211.53 million shares, recording decrease of 49.88 percent.

The daily performance of KSE was characterized with limited changes in market indices, both of them moved in narrow area around previous day closing. The purchase orders were marked with cautiousness and selectivity, especially for the leading shares.

Many reasons lead the market to a state of caution and uncertainty, since the number of companies that disclosed its results for the first half (H1) of 2010 are still limited compared to the total number of listed companies. However, the company results wasn't the only reason for the fluctuant market performance during last week, as the absence of government's positive statements, the growth fuel for the market during previous weeks, was an important factor in the hesitant performance of the market.

By the end of the week, the price index closed at 6,666.1 points, up by 0.17 percent from the week before closing, whereas the weighted index registered a 0.25 percent weekly gain after closing at 420.29 points.

Sectors' indices

Four of KSE's sectors ended last week in the green zone, three recorded declines, whereas the Insurance sector's index closed with no change from the week before. Last week's highest gainer was the Non-Kuwaiti companies sector, achieving 0.73 percent growth rate as its index closed at 6,896.1 points. Whereas, in the second place, the Services sector's index closed at 14,651.4 points recording 0.60percent increase. The Industry sector came in third as its index achieved 0.36 percent growth, ending the week at 5,473.8 points. On the other hand, the Investment sector headed the losers list as its index declined by 0.67 percent to end the week's activity at 4,776.9 points. The Food sector was second on the losers' list, which index declined by 0.57 percent, closing at 4,796.6 points, followed by the Real Estate companies sector, as its index closed at 2,348.8 points.

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Al Watan