The trading value of the ASE reached JD24.1 million in February—marking a drop of 16 percent, from JD28.7 million, the previous month. The number of traded shares slipped by 20.4 percent, down from 21.6 million in January, to 17.2 million.
The General Price Index (GPI), weighted by market capitalization, recorded a slight increase of 0.83 percent, compared to January, closing at 137.87 points at month's end. The bourse was mainly stable, with a few speculative deals by small investors and many players adopting a wait-and-see attitude amid an absence of institutional buying, brokers said.
They said that the market saw few large transactions and the ASE was still affected by the political uncertainty in the region. They added that local funds and institutional investors are hesitant to engage in heavy trading as many companies and banks did not report their 2000 results.
At the end of February, shares owned by non-Jordanians represented 42 percent of ASE capitalization, 36.4 percent of which owned by Arab investors and 5.6 percent by non-Arabs. The value of shares sold by non-Jordanians was JD8 million, of which 52.3 percent were sold by Arabs. The value of shares purchased by non-Jordanians equaled JD9.2 million, of which 54.1 percent were purchased by non-Arabs.
Market capitalization in February rose 1.1 percent, from 3574.2 million in January, to 3612.5 million. The trading value on ASE till the end of February reached JD52.8 million, compared to JD60 million in the same period of 2000.
Meanwhile, the Cabinet issued “Regulating Non-Jordanian Investments Regulation” No. 54 for the year 2000, which cancelled the regulation which imposed restrictions on non-Jordanian ownership in some sectors. On March 11, 2001, ASE celebrated its second anniversary. — ( Jordan Times )
© 2001 Mena Report (www.menareport.com )