Kuwait: Monthly Market Report - December 2016

Transcription

1. Boursa Kuwait Monthly Report December 2016 Disclaimer : This report is prepared and issued by the Studies & Research Department at Bayan Investment Company, based on the available and published information and any other reliable sources, for publishing purposes only. This report is not an offer or recommendation to buy or sell any security or stock mentioned herein. However maximum care measurements have been taken to guaranty correct presented data, neither Bayan Investment Company nor any of its employees shall hold in any way responsible for an insufficient or inaccurate information. Prepared by the Studies & Research Department Bayan Investment Co. P.O.Box 104, Dasmah, 35151 Kuwait. Tel: 1840000 / (965) 22431262 Fax: (965) 22431435 Website: www.bayaninvest.com Email: trade@bayaninvest.com Twitter: @bayaninvest 1
2. Boursa Kuwait ended December in the green zone . The Price Index closed at 5,748.09 points, up by 3.49% compared to the closing of the month before, the Weighted Index increased by 3.53% after closing at 380.09 points, whereas the KSX-15 Index closed at 885.02 points increasing by 3.49%. Furthermore, last month's average turnover increased by 8.82%, compared to the preceding month, reaching K.D 16.07 million, whereas trading volume average was 179.69 million shares, recording an increase of 36.39%. The three Boursa indices were able to meet in the green closing area for the third consecutive month, as it ended December with good gains supported by the active trading and the purchasing operations that included many listed stocks headed by the leading companies and operational stocks, especially the ones expected to realize positive results for the 2016 financial year. Also, the continued quick speculative operations that concentrated on the small-cap stocks, contributed into enhancing the Boursa’s gains during the last month, especially the stocks being traded below its book and par values. On the contrary, the Boursa witnessed during some daily sessions of the last month partial profit collection operations that forced the three indices to decline and record losses, however it could not finally drag it to the red zone on the monthly level. Moreover, the traders are watching for the listed companies results for the financial year end 31 December 2016, expected to be disclosed during the Prepared by the Studies & Research Department Bayan Investment Co. P.O.Box 104, Dasmah, 35151 Kuwait. Tel: 1840000 / (965) 22431262 Fax: (965) 22431435 Website: www.bayaninvest.com Email: trade@bayaninvest.com Twitter: @bayaninvest 2
3. coming period , where many investors are waiting for such results to determine their investment objectives for the year 2017. By the end of last month, the market capitalization’s gains for the listed companies in the Boursa Kuwait (primary market) reached K.D. 350.96 million after reaching K.D. 25.41 billion compared to K.D. 24.86 billion in last November, while its annual increase reached 0.56% compared to its level at end of year 2015. As per the daily trading activity for the three Boursa indices during last December; the Price Index witnessed positive performance during most of the daily sessions of the month, as it was able to increase in 15 day out of 20 trading day of the month. The Index initiated the month’s trading with slight increase in the first session before it dropped in the next two sessions affected by the profit collection operations, to end the session at 5,546.17 point, its lowest closing level of the month. The Index was able to return to the green zone by recording consecutive gains in the next six sessions, before it stopped in the two sessions thereafter for profit collections, to end the sessions at 5,651.0 point. The market witnessed a positive performance right after and was able to record series of increases until one session before the end of the month, where it ended at 5,753.36 point, its highest level during December, before it witnessed in the last session of the month a slight drop, to reach by this its monthly gains 3.49%. Prepared by the Studies & Research Department Bayan Investment Co. P.O.Box 104, Dasmah, 35151 Kuwait. Tel: 1840000 / (965) 22431262 Fax: (965) 22431435 Website: www.bayaninvest.com Email: trade@bayaninvest.com Twitter: @bayaninvest 3
4. The Weighted Index did not perform much different than the Price Index however , as it was able to increase in 14 session out of 20 trading sessions of the month, where it initiated the first session of December with gains before it dropped in the next session affected by the profit collection operations to end it at 369.02 point, its lowest level during the month. The Index returned to the green zone right after, benefiting from the purchasing operations executed on the heavy operational stocks, which pushed it to record good gains in six consecutive sessions so that its monthly gains reached 3.54%. The Index witnessed thereafter a fluctuated performance with upward trend, where it reached its highest level during December, specifically on 27th December session, that it ended at 380.76 point. However, the Weighted Index witnessed in the next session a decline of 0.38%, before it was able to increase once again in the last session to end December trading at 380.09 point level, with monthly gains of 3.53%. In addition, KSX-15 Index ended December’s trading at 885.02 point level, where it was able to record gains in 11 session out of 20 trading session of the month. The Index witnessed in the first half of the month a positive performance that enabled it to realize large gains until the session of 13th December, which it ended it at 895.53 point, its highest closing level during December, where it gains reached since the beginning of the month until the same session 4.72%. The Index fluctuated during the second half of the month with a downward trend, that caused the Index to lose some of its Prepared by the Studies & Research Department Bayan Investment Co. P.O.Box 104, Dasmah, 35151 Kuwait. Tel: 1840000 / (965) 22431262 Fax: (965) 22431435 Website: www.bayaninvest.com Email: trade@bayaninvest.com Twitter: @bayaninvest 4
5. previously realized gains , however it ended the month’s trading with good gains that reached 3.49% compared to November closing. For the annual performance, the Price Index ended last month recording 2.37% annual gain compared to its closing in 2015, while the Weighted Index decreased by 0.42%, and the KSX-15 Index recorded 1.71% loss. Sectors’ Indices Ten of KSE’s sectors ended last month in the green zone, while the other two recorded declines. Last month’s highest gainer was the Basic Materials sector, achieving 7.83% growth rate as its index closed at 1,004.81 points. Whereas, in the second place, the Industrial sector’s index closed at 1,344.03 points recording 6.89% increase. The Real Estate sector came in third as its index Prepared by the Studies & Research Department Bayan Investment Co. P.O.Box 104, Dasmah, 35151 Kuwait. Tel: 1840000 / (965) 22431262 Fax: (965) 22431435 Website: www.bayaninvest.com Email: trade@bayaninvest.com Twitter: @bayaninvest 5
6. achieved 5 .47% growth, ending the month at 870.18 points. The Oil & Gas sector was the least growing as its index closed at 780.66 points with a 0.30% increase. On the other hand, the Technology sector headed the losers list as its index declined by 25.59% to end the month’s activity at 607.15 points. The Health Care sector was second on the losers’ list, which index declined by 1.54%, closing at 1,244.44 points. Sectors’ Activity The Financial Services sector dominated total trade volume during last month with 1.41 billion shares changing hands, representing 39.14% of the total market trading volume. The Real Estate sector was second in terms of trading volume as the sector’s traded shares were 33.35% of last month’s total trading volume, with a total of 1.20 billion shares Prepared by the Studies & Research Department Bayan Investment Co. P.O.Box 104, Dasmah, 35151 Kuwait. Tel: 1840000 / (965) 22431262 Fax: (965) 22431435 Website: www.bayaninvest.com Email: trade@bayaninvest.com Twitter: @bayaninvest 6
7. On the other hand , the Banks sector’s stocks were the highest traded in terms of value; with a turnover of K.D. 84.06 million or 26.15% of last month’s total market trading value. The Financial Services sector took the second place as the sector’s last month turnover of K.D. 80.49 million representing 25.04% of the total market trading value. For further details, please visit our web site: www.bayaninvest.com Prepared by the Studies & Research Department Bayan Investment Co. P.O.Box 104, Dasmah, 35151 Kuwait. Tel: 1840000 / (965) 22431262 Fax: (965) 22431435 Website: www.bayaninvest.com Email: trade@bayaninvest.com Twitter: @bayaninvest 7