KUWAIT – Kuwait Stock Exchange (KSE) ended last week in the green zone backed by purchasing operations on many stocks and active speculation on small-cap shares, Bayan Investment Company noted in its weekly report issued Saturday. It pointed out that the Price Index closed at 7,453.75 points, up by 0.67 percent from the week before closing, the Weighted Index increased by 0.28 percent after closing at 492.38 points, whereas the KSX-15 Index closed 1,201.91 points up by 0.39 percent.
"Furthermore, last week's average daily turnover increased by 2.95 percent, compared to the preceding week, reaching KD 22.35 million, whereas trading volume average was 224.85 million shares, recording a decrease of 7.18 percent," reads the report.
Bayan stated that the stock market was able to continue its positive performance that it has been witnessing this period supported by the purchasing power on many stocks, in addition to the active speculative operations that concentrated on a number of small-cap stocks.
"(This) contributed in enhancing the gains of the three market indicators to realize good gains for this week, especially the Price Index that was close to restore the 7,500 point level which it lost few months ago," added the report.
Bayan stated that the selling pressures were not absent on influencing last week's trading activity, which raised slight fluctuations on the market indicators during some sessions, whereas the stock market witnessed quick profit collection operations included many stocks and focused on the large-cap ones, which limited the indices gains on one hand, and dropped some of it on the other hand.
"And however that such operations were expected after the big increases in prices that realized by many stocks during the last period, it did not succeed in pulling the stock market indices into the red zone on the weekly level," it said.
On the other hand, Kuwait Stock Market announced during last week that the Capital Markets Authority approved listing the Kuwaiti Telecommunications Company's stocks (VIVA) in the official market during the current year, which spread an optimism feeling among the traders in the market, especially that this step may open the door for listing new companies in the stock market, and contribute to enhancing the financial liquidity pumped into it.
For the annual performance, the price index ended last week recording 1.27 percent annual loss compared to its closing in 2013, while the weighted index increased by 8.73 percent, and the KSX-15 12.49 percent growth. Bayan figures also showed that ten of KSE's sectors ended last week in the green zone, while the other two recorded declines.
"Last week's highest gainer was the Technology sector, achieving 3.76 percent growth rate as its index closed at 1,027.29 points. Whereas, in the second place, the Basic Materials sector's index closed at 1,277.45 points recording 2.49 percent increase. The Consumer Goods sector came in third as its index achieved 1.16 percent growth, ending the week at 1,358.29 points.
The Telecommunications sector was the least growing as its index closed at 770.48 points with a 0.24 percent increase, "On the other hand, the Oil & Gas sector headed the losers list as its index declined by 1.35 percent to end the week's activity at 1,255.58 points. The Banking sector was second on the losers' list, which index declined by 0.89 percent, closing at 1,107.25 points," it revealed.
Meanwhile, the report disclosed that the Financial services sector dominated total trade volume during last week with 585.27 million shares changing hands, representing 52.06 percent 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 percent of last week's total trading volume, with a total of 281.09 million shares.
"On the other hand, the Financials Services sector's stocks were the highest traded in terms of value; with a turnover of K.D 37.21 million or 33.30 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 K.D 26.06 million represented 23.31 percent of the total market trading value," it added. — SG/KUNA
