Bayan weekly market report
KUWAIT: Kuwait Stock Exchange (KSE) ended last week in the red zone. The Price Index closed at 6,332.27 points, down by 0.39 percent from the week before closing, the Weighted Index decreased by 1.33 percent after closing at 423.69 points, whereas the KSX-15 Index closed at 1,016.98 points, down by 1.67 percent. Furthermore, last week's average daily turnover increased by 2.65 percent, compared to the preceding week, reaching KD 14.11 million, whereas trading volume average was 130.79 million shares, recording decrease of 17.72 percent.
The fluctuation characterized last week's trading activity, however, the three indices closed in the red zone in light of the continued control of the speculative operations over the trading activity, among concentration on small-cap stocks in particular. Also, the stock market witnessed a noticeable activity on the profit collection operations during the week, and included many traded stocks, especially the large-cap and operational stocks, which negatively affected the Weighted and KSX-15 indices.
Moreover, the stock market trading activity during most of last week's sessions were weak and varied due to the effect of the decision made for banning some companies' stocks from trading, of which could not disclose its first quarter financial results before the legal period given of last Sunday, in addition to the traders' continued abandon to the trading activity waiting for some positive motivators to support the purchasing direction, which explains the daily liquidity levels fluctuations during this period.
By the end of the week, the number of companies that disclosed its first quarter financial results reached 178 company, out of 191 listed company in the official market, representing around 93.20 percent of the total companies; and the net profit of the disclosed companies reached KD 490.63 million, compared to KD 491.62 million for the same period of last month, declining by around 0.20 percent.
Furthermore, the market cap for Kuwait Stock Exchange reached KD 27.87 billion by the end of last week, decreasing by 1.39 percent when compared to its level of KD 28.27 billion in the previous week; on an annual level, the market cap of the listed companies declined by 0.38 percent from its value of KD 27.98 billion at year end of 2014.
As far as KSE annual performance, the price index ended last week recording 3.11 percent annual loss compared to its closing in 2014, while the weighted index decreased by 3.46 percent, and the KSX-15 recorded 4.05 percent loss.
Sectors' Indices
Seven of KSE's sectors ended last week in the red zone, while the other five recorded increases. The Oil & Gas sector headed the losers list as its index declined by 2.67 percent to end the week's activity at 974.89 points. The Banks sector was second on the losers' list, which index declined by 0.67 percent, closing at 987.78 points, followed by the Financial Services sector, as its index closed at 782.27 points at a loss of 0.52 percent. The Real Estate sector was the least declining as its index closed at 1,053.67 points with a 0.18 percent decrease.
On the other hand, last week's highest gainer was the Health Care sector, achieving 0.45 percent growth rate as its index closed at 860.15 points. Whereas, in the second place, the Technology sector's index closed at 923.77 points recording 0.22 percent increase. The Telecommunications sector came in third as its index achieved 0.12 percent growth, ending the week at 630.92 points.
Sectors' Activity
The Real Estate sector dominated a total trade volume of around 240.51 million shares changing hands during last week, representing 36.78 percent of the total market trading volume. The Financial Services sector was second in terms of trading volume as the sector's traded shares were 33.55 percent of last week's total trading volume, with a total of around 219.39 million shares.
On the other hand, the Banks sector's stocks were the highest traded in terms of value; with a turnover of around KD 20.72 million or 29.36 percent of last week's total market trading value. The Real Estate sector took the second place as the sector's last week turnover was approx. KD 16.01 million representing 22.70 percent of the total market trading value. Prepared by the Studies & Research Department, Bayan Investment Co.
© Kuwait Times 2015
