Drop in demand for Solidere slows Lebanese bourse
Activity on the Beirut Stock Exchange sharply regressed due a drop in demand for Solidere’s stock. The increase in trading volume and turnover since the start of the year was reversed this week as market players seem to prefer to remain on the sidelines rather than venture onto the market in still volatile local and regional political conditions. Also, the fact that the government’s pro-growth economic policy needs time to yield results seems to hold back investors for better macroeconomic indicators. On a weekly basis, volume dropped by 79.5 percent to 136,826 shares and turnover dropped 84.4 percent to $673,916.
Solidere’s stock registered low activity. The firm’s “A” shares were unchanged at $6.625 while “B” shares gained 1.8 percent to end the week at $7. A total of 35,263 shares changed hands for a value of about
$238,000 compared to a volume of 578,768 shares and a turnover of $3.93 million for the previous week.
Bank stocks contributed 60 percent of turnover on the bourse for the week, but all bank stocks maintained their previous prices for the fourth consecutive week.
Industrials firm Ciments Libanais continued to be active without a change in price as 42,922 shares changed hands. Bou Khalil Markets traded 5,000 shares this week, helping the stock jump 25 percent to $1.875. Lebanese GDRs were on the downside, as Audi lost 6.2 percent, Solidere dropped 4.9 percent and BLC shed 2.8 percent.
The Lebanon Invest Share Price Index (LISPI)ended the week at 64.54,up 0.69 percent from the previous week’s closing of 64.10. The Lebanon Invest Bank stock Index (LIBX) ended the week unchanged at 141.72. — ( Lebanon Invest )
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