Kuwait Stock Exchange’s Weekly Activity, 21-Jul-2016
Kuwait Stock Exchange (KSE) ended last week in the green zone. The Price Index closed at 5,391.20 points, up by 0.01% from the week before closing, the Weighted Index increased by 0.75% after closing at 351.57 points, whereas the KSX-15 Index closed at 811.34 points up by 1.72%. Furthermore, last week’s average daily turnover increased by 26.58%, compared to the preceding week, reaching K.D 8.98 million, whereas trading volume average was 80.99 million shares, recording an increase of 31.41%.
The three stock market indices were able to realize gains after the fluctuation it witnessed in the previous two weeks, supported by the positive trading and purchasing operations witnessed by the leading and operational stocks, especially the Banks’ stocks and the ones expected to realize positive results for the first half period. On the contrary, the red zone was not away from the KSE tradings during the last week, as the market indices decreased in few daily sessions of the week under the pressure of the profit collection operations that were present and concentrated on some listed stocks, especially the low-priced ones of which realized continues increases in few past weeks. Also, the market performance during the last week came amid of a good increase in the trading activity compared to the previous week, whereas the number of traded stocks grew by 31.41%, while the trading value recorded an increase of 26.58% by the end of the week.
As per the daily trading activity; the market witnessed in the first session of the last week a mixed closing to the three indices, whereas the Price and Weighted indices declined slightly under a pressure from the profit collection operations and the speculation that included some small-cap stocks, while the KSX-15 index succeeded in increasing, however in small percentage, supported by the random purchasing operations executed on some leading stocks. On the second session, the market continued its fluctuation, whereas the Price Index continued recording losses amid an ongoing profit collection operations and quick speculation that returned to be the prominent current feature in the market, while the Weighted and KSX-15 indices were able to increase supported by the purchasing operations that included a number of leading stocks.
On the mid week session, the market witnessed a grouped drop to the three indices which could not hold against the selling pressures and the profit collection operations that the session witnessed, amid a decline in the trading activity also for both value and volume, before the market could record a grouped increase for the three indices in the next session, supported by the optimism state that accompanied some traders after the positive disclosure of a number of listed companies to its second quarter financial results. The market returned in the last trading session of the week to fluctuate once again, where the Price Index was able to record gains and compensate its losses for the week, while the Weighted and KSX-15 indices declined as a result to the profit collection operations, which limited its profits for the week.
Moreover, the market capitalization reached by the end of last week K.D. 22.90 billion, up by 0.59% compared to its level in a week earlier, where it reached then K.D. 22.94 billion. However on an annual level, the market cap for the listed companies in KSE declined by 9.36% from its value at end of 2015, where it reached then K.D. 25.27 billion.
As far as KSE annual performance, the price index ended last week recording 3.99% annual loss compared to its closing in 2015, while the weighted index decreased by 7.89%, and the KSX-15 recorded 9.89% loss.
Sectors’ Indices
Seven of KSE’s sectors ended last week in the green zone, while the other five recorded declines. Last week’s highest gainer was the Technology sector, achieving 2.88% growth rate as its index closed at 1,021.31 points. Whereas, in the second place, the Health Care sector’s index closed at 1,034.98 points recording 2.13% increase. The Oil & Gas sector came in third as its index achieved 1.95% growth, ending the week at 789.91 points.
On the other hand, the Consumer Services sector headed the losers list as its index declined by 3.97% to end the week’s activity at 957.42 points. The Industrial sector was second on the losers’ list, which index declined by 0.75%, closing at 1,055.45 points, followed by the Basic Materials sector, as its index closed at 967.23points at a loss of 0.25%.
Sectors’ Activity
The Financial Services sector dominated a total trade volume of around 200.53 million shares changing hands during last week, representing 49.52% of the total market trading volume. The Real Estate sector was second in terms of trading volume as the sector’s traded shares were 15.98% of last week’s total trading volume, with a total of around 64.70 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 18.43 million or 41.05% of last week’s total market trading value. The Financial Services sector took the second place as the sector’s last week turnover was approx. K.D 8.45 million representing 18.83% of the total market trading value.