18/01/2016 05:38 AST
Kuwait Stock Exchange (KSE) ended last week in the red zone. The Price Index closed at 5,265.94 points, down by 3.82% from the week before closing, the Weighted Index decreased by 4.48% after closing at 355.39 points, whereas the KSX-15 Index closed at 828.38 points down by 5.48%. Furthermore, last week’s average daily turnover increased by 25.15%, compared to the preceding week, reaching K.D 13.90 million, whereas trading volume average was 87.29 million shares, recording a loss of 17.55%.
The stock market ended the week’s trading with noticeable losses for the three indicators, especially the KSX- 15 Index which declined steeply continuing its downward direction to reach very low levels, as it reached by the end of last week its lowest level ever since its inception in May 2012. The market witnessed such performance in light of the strong selling trend that it was subject to as a result to the continued investors’ interaction with the negative surrounding factors, related to the national economy future in a continued decline to oil prices, and its effect on the listed companies in KSE.
Also, the market losses come in parallel with the continued watch and cautious state that is controlling many traders currently, waiting for the listed companies’ 2015 fi nancial results. On the other hand, the drop in prices of many stocks during last week’s trading caused the market cap to lose around KD 1.12 billion, to reach KD 23.54 billion, compared to KD 24.66 billion at the end of a week earlier.
Moreover, the market initiated its fi rst sessions of the week with grouped losses for the three indices, due to the strong selling pressures witnessed by many listed stocks, especially the leading and large-cap ones, in addition to the liquidation operations executed on the small-cap stocks during this period. On the next two sessions, the market continued recording grouped losses for the three indicators, among a declined liquidity levels, especially on Tuesday’s session, where the value decreased more than 35%, to reach KD 13.75 million.
On mid Wednesday’s session, the market was able to relatively hold compared to the previous sessions, whereas the Weighted Index was able to realize slight growth supported by the random purchasing operations that included some leading stocks, whilst the Price and KSX-15 indices couldn’t, and continued recording losses, however limited; such performance came among a growth in the trading value by about 40%. The stock market returned in its last session of the week to record grouped losses for the three indicators as a result to the random selling operations executed by many traders in the market, and concentrated on the leading and heavy stocks, among a noticeable growth in the trading value.
Sectors’ Indices
All of KSE’s sectors ended last week in the red zone except for one sector. The Real Estate sector headed the losers list as its index declined by 5.84% to end the week’s activity at 855.87 points. The Banks sector was second on the losers’ list, which index declined by 5.50%, closing at 838.36 points, followed by the Industrial sector, as its index closed at 974.40 points at a loss of 4.34%. The Health Care sector was the least declining as its index closed at 915.28 points with a 0.47% decrease. On the other hand, the Technology sector was last week’s only gainer, which index grew by 0.06%, closing at 832.18 points.
Sectors’ Activity
The Financial Services sector dominated a total trade volume of around 157.25 million shares changing hands during last week, representing 36.03% of the total market trading volume. The Real Estate sector was second in terms of trading volume as the sector’s traded shares were 25.57% of last week’s total trading volume, with a total of around 111.60 million shares. On the other hand, the Banks sector’s stocks were the highest traded in terms of value; with a turnover of around K.D 29.77 milli
Arab Times
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