Solidere dominates Lebanon's trading as Hariri returns to power
Activity on the Beirut Stock Exchange slightly improved for the week. The designation of Mr. Rafic Hariri as the new Prime Minister generated positive sentiment and reduced uncertainty. But markets had little time to react to his much-awaited Cabinet that was formed at week’s end. Still, market players are likely to wait for the new government’s economic policy details to engage in active trading.
The bourse also started continuous trading, a move intended to improve liquidity. Trading continued to be dominated by Solidere, which accounted for 73.5 percent of total volume and about 94 percent of aggregate turnover. On a weekly basis, volume increased 3.13 percent to 114,384 shares while value rose 3.9 percent to $699,539.
Trading in Solidere’s stock improved on last week’s level despite local and regional uncertainties. The firm’s stock continues to generate interest based on the rising likelihood that Mr. Hariri is returning to power. The firm’s share prices were downed as “A” shares lost 3.3 percent to $7.25 while “B” shares dropped 1.5 percent to $8. A total of 84,118 shares changed hands for a value of $658,856 compared to a volume of 76,901 shares and a turnover of $590,935 for the previous week.
Bank stocks contributed a mere 3 percent of aggregate turnover on the bourse for the week. Byblos was the only mover, gaining 3.7 percent to end the week at $1.75.
Bou Khalil Markets jumped 17 percent to $1.5 on Friday as 1,678 shares changed hands.
Lebanese GDRs were mostly unchanged with the exception of BLOM that lost 1.7 percent.
The Lebanon Invest Share Price Index (LISPI) closed at 65.52, down 0.14 percent from the previous week’s closing of 65.61.
The Lebanon Invest Bank Stocks Index (LIBX) closed at 141.42, up 0.22 percent from the previous week’s closing of 141.11. — ( Lebanon Invest )