Boursa Kuwait ended last week with in the green zone. The Price Index closed at 6,725.78 points, up by 0.83% from the week before closing, the Weighted Index increased by 0.73% after closing at 403.64 points, whereas the KSX-15 Index closed at 919.44 points up by 0.92%. Furthermore, last week’s average daily turnover increased by 12.47%, compared to the preceding week, reaching K.D 17.18 million, whereas trading volume average was 191.23 million shares, recording an increase of 26.69%.
The Boursa ended the week’s trading recording growth to its three indices after many weeks of fluctuation and negative performance, as it was able to return to the green zone supported by the return of the purchasing operations to be in the front, after most of the listed companies finished from disclosing its fiscal financial data for the first quarter of the current year, whereas the purchasing operations concentrated on the companies’ stocks that disclosed positive fiscal results. On the contrary, last weeks’ trading was subject to the selling and profit collection operations, as some traders executed such operations during some daily sessions of the week, causing the market indices to fall in the red zone, however, the market was able to resist such operations and end the week’s trading in the green zone.
Also, the Boursa Kuwait recorded during the last week market gains over K.D. 145 million, as the market capitalization for the total listed stocks in the official market reached K.D. 26.74 million, up by 0.55% from its value at a week earlier, where it was K.D. 26.59 billion. On an annual level, the market cap gains increased to 5.24% compared to its value at end of last year, where it was K.D. 25.41 billion. (Note: CMA decision no. (69) for year 2017 to move (11 company) from the primary market to the secondary market during the last week, contributed in decreasing the Boursa capitalization value by around K.D. 82.06, the total value of the 11 company market cap.)
Furthermore, the Boursa Kuwait witnessed in the first session of the last week a mixed closing for its three indices, whereas the Price and Weighted indices declined affected by the selling pressures on a wide range of listed companies’ stocks, especially the small-cap and idle stocks which have been traded below its par or book value; while the KSX-15 went against the current and was able to end the session with good increase supported by the strong purchasing operations that concentrated on the leading stocks, especially in the Oil and Gas sector, the most increasing sector by the end of the session. In addition, the market was able in the second session to record increases to its three indices in light of the heavy purchasing operations on the small-cap and mid-cap stocks, especially the ones that disclosed good fiscal results. Such performance came in parallel with a noticeable growth in the trading activity as the cash liquidity recorded an increase by 55% compared to the previous session, while the number of traded stocks recorded growth of 60% by the end of the session.
The three market indices returned on Wednesday’s session to meet in the green zone once again, supported by the random purchasing operations executed on some leading stocks especially in the Banks sector, in addition to the speculative operations witnessed by the small-cap and idle stocks, being traded below 100 fils. Such performance took place before the end of week session, where the three market indices closed with limited losses affected by the selling and profit collection operations concentrated on a number of leading stocks, amid a declined trading activity of both the value and volume, as the cash liquidity dropped by around 29% and the volume decreased by around 39%, compared to Wednesday’s session.
For the annual performance, the Price Index ended last week recording 17.01% annual gain compared to its closing in 2016, while the Weighted Index increased by 6.20%, and the KSX-15 recorded 3.89% growth.
Sectors’ Indices
On the other hand, The Technology sector headed the losers list as its index declined 3.85% to end the week’s activity at 672.15 points. The Health Care sector was second on the losers’ list, which index declined by 3.02%, closing 1,390.00 points, followed by the Insurance sector, as its index closed at 1,042.40 points at a loss of 2.42%.
Sectors’ Activity
The Real Estate sector dominated a total trade volume of around 363.86 million shares changing hands during last week, representing 38.06% of the total market trading volume. The Financial Services sector was second in terms of trading volume as the sector’s traded shares were 36.78% of last week’s total trading volume, with a total of around 351.62 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 26.23 million or 30.54% 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 21.39 million representing 24.90% of the total market trading value.