Following months of political turmoil within the country, and a much-welcomed recent shift towards stability, the Iraq Stock Exchange (ISX) saw a slight dip in the market in November. During the month of November, Rabee Securities Iraq Stock Exchange Index (RSISX Index), largely accepted as a benchmark index in the market, decreased by 4.3% in USD terms, both because the depreciation of Iraqi Dinar by 2.0% against the USD and the decline in share prices of Baghdad Soft Drinks -5.3% and Asiacell -4.5% which were partially offset by the increase in Mansour Bank +12.5%.
The share price of Bank of Baghdad the largest weight in the index, was stable during the month which limited the decline in the index, as well.
Total trading volumes of the ISX decreased by 21% in November as compared to October 2022, down to USD 13.4 million. The industry sector reported the highest share in trading volume at 32.3%, followed by the banking sector (31.6% share), telecom sector (9.5% share), hotels & tourism sector (8.6% share), services sector (8.5% share) and agriculture sector (5.4% share). Foreigner shares in trading volumes decreased from 11.3% in October to 4.5% in November.
Mrs. Tugba Tan Karakaya, Analyst at the Research Department of Rabee Securities, commented, “Both the Industry and Banking Sectors played a major role in trading during November 2022, constituting roughly 64% in total trading. As the country continues to shift to a more stable geopolitical situation, we anticipate increases in demand on the ISX, in the upcoming first quarter of 2023.”
Three companies distributed dividends during November; Iraqi Islamic Bank <BIIB:IQ> (dividend yield: 5.8%), Baghdad Passengers Transport <SBPT:IQ> (dividend yield: 2.2%), and Middle East Producing & Marketing – Fish <AMEF:IQ> (dividend yield: 0.6%).
On a positive note, twenty-four companies’ share prices went up in November, of which 17 increased by more than 5%, while 13 increased by more than 10%. Fallujah for Construction Materials <IFCM:IQ> increased the most, spiking +78.6% during the month, followed by Modern Animal & Agricultural Production <AMAP:IQ> which increased by 43.8%.