Kuwaiti bourse ends week above 1,700 points
The Kuwait Stock Exchange reached a 31-month high on Wednesday, July 4, ending the week at 1,705.8 points. Although the index rose 1.1 percent on the week and 26.5 percent since the beginning of the year, it is still down 40 percent since its all-time high of November 1997.
The gains have been attributed to strong second quarter corporate results. "In the first quarter, profits of all listed firms were $655 million, whereas results in the second quarter are definitely higher, especially for banks and investment companies," reportsAFP. Following the bourse’s severe slump in January, having reached its all-time low, government reforms, investor confidence and general optimism and assurance have led the index 26 percent higher.
Trading volume for the week reached $382.9 million, representing a daily average of $76.6 million. This figure is almost twice as high as the average daily trading volume of $42 million in the first half of 2000, and almost five-fold relative to the $16 million in 1999.
The Kuwaiti bourse is the second largest capitalized market in the Arab world, with capitalization having increased to $26 million, representing a 30 percent rise since January. (MENA Report)
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