Selling pressure, speculations led KSE down this week -- experts

06/03/2015 05:54 AST

The Kuwait Stock Exchange (KSE) witnessed fluctuations and selling pressure over the trading week that ended on Thursday, which pulled price levels of most traded shares down, according to experts. Speculative activities have carried on.

A state of disparities mainly characterized the KSE this week, which reflected hesitation by many traders to get involved in trading, selling or buying, , Director General of Al-Arabi Financial Brokerage Co. Maitham Al-Shakhs, told KUNA.

He attributed this to internal technical reasons, and the impact of other regional markets.

The pace of trading in general was much impacted by the delay of some companies to reveal their 2014 financial statements, he said. This ushered the market into a transitional period, between last year results and expectations of the first quarter of 2015.

According to Al-Shakhs, the last session of the week was affected by postponing discussions of amendments to Law 7/2010 on establishing the Capital Markets Authority of Kuwait (CMAK), to March 24.

This has had a negative impact on traders and weakened confidence to some extent, he said. Added to selling pressure this week, trading was dominated by speculative groups, chairman of Kuwaiti Traders Society Mohammad Al-Tarrah told KUNA. However, today's session eased the impact of the week's drops.

Considerable liquidity was directed to major stocks, Tarrah said. He expected selling pressures to carry on next week with rising activity on cheap, or popular shares.

KSE had ended Thursday's session in the red zone as the weighted index went down by 1.21 points, the price index down by 23.21 points to stand at 6,539.2, and the same case with the KSX index which closed also at a loss of 3.92 points.

KUNA