Kuwait Times - 29/5/2006
KSE stocks ended yesterday's trading session on a steady note. Despite a slim advance recorded by KSE Price Index that ended the day 16 points (or 0.16 per cent) higher, poor performance of the markets blue-chip stocks pulled Global General Index to end the day in negative territory.
The market-cap weighted index closed marginally down by 0.48 points, or 0.17 per cent, at 275.95 points. Market capitalisation of the KSE shed 0.17 per cent, reaching KD37.89bn by session-end.
On the broader market for equities, decliners outpaced advancer 51 to 47 on KSE yesterday. On the economic front, Minister of Finance Bader Al-Humaidhi referred the comprehensive tax bill to the cabinet after being studied extensively by international institutions. A statement by the Finance Ministry issued on Saturday indicated that the referral of the memo includes a survey on the country's economic situation, sighting that financial and economic reform cannot be achieved without developing the tax system similarly to what is being applied in other countries. The new tax bill aims to provide a healthy investment atmosphere in Kuwait. It also intends to change the public financial structure, support economic development, achieve social justice and reinforce the role of individuals in serving society Trading activity slowed down on the KSE today. Volume of shares traded was down 37.38 per cent, reaching 162.33mn shares. Subsequently, value of shares exchanged on the KSE declined by 32.73 percent, reaching KD54.29mn. Investors took special interest in The International Investors stocks, with 10.29mn shares traded, at an aggregate value of KD3.07mn. The scrip shed 4.92 per cent, and closed at KD0.290 on profit taking.
Among sectoral indices, only three indices managed to end yesterday's session on a positive note. A gain of 1 per cent on the stock of National Bank of Kuwait, pushed the Global Banking Index 0.42 per cent higher. Meanwhile, Global Non-Kuwaiti Index posted 0.22 per cent in daily gains, on the back of a 3.75 per cent advance on the counter of Shuaa Capital. Global Industrial Index added 0.17 in daily gains buoyed by positive performance by several component stocks. Metal & Recycling Co and Kuwait Foundry Co were up 3.45 per cent and 3.33 per cent respectively. In sector related news, Refrigeration and Warehousing Industries Co received a final instalment in the amount of KD859,976 from the National Compensation Committee for the 1990 Iraqi invasion.
Services Index spearheaded decliners yesterday, with 0.99 per cent in daily losses. Share price of Sultan Center Food Products Co recoiled by 3.03 per cent, to end the day at KD0.640. Similarly, Public Warehousing Company shed 2.13 percent of its value, and closed at KD1.840.
The Food Index shed 0.96 per cent of its value, on the back of 5.57 percent drop on the counter of United Food Industrial Group. Share price of United Fisheries of Kuwait and Livestock Transport & Trading Co was down 3.17 per cent and 1.20 percent respectively.
Al-Mazaya Holding Company realised profits amounting to KD1.2mn from a real estate deal executed in Dubai. Despite the positive news, the scrip ended the day flat at KD0.530. In the investment sector, Bahrain Monetary Agency granted approval to The Investment Dar to increase its stake in Bahrain Islamic Bank from 33.85 per cent to 40 per cent. Investment Dar's scrip closed at KD1.200, down 1.64 percent for the day. Global Investment Index edged marginally lower yesterday, down 0.48 per cent.
Share price of National Ranges Company continued to head further up. The scrip added 9.09 per cent in daily gains, to close at KD0.300. So far the company's share price has gone up 25 per cent since the capital increase announcement last week. Other gainers for the day included, Kuwait Lebanese Real Estate Development Co (+8.62%), Al-Tameer Real Estate Investment (+7.35%), Grand Real Estate Projects (+7.22%) and Gulf Petroleum Investment (+6.49%).