Kuwait operating corporate stocks to draw high demand

Operating company shares are anticipated to see upward mobility in December, buoyed by individual and corporate purchases targeting higher price levels by the end of the year, according to economists.

The operating stocks of leading companies listed on the stock exchange have made considerable gains over the first nine months of this year, two economists told Kuwait News Agency (KUNA) on Monday.

Dealers are always keen on stepping up their purchase orders for the shares of banks, consumer services and logistics in December of every year in the hope of year-end closures with good returns, Sorooh Holding Company Board Member Suleiman Al-Wugayyan told KUNA.

The mobility of deals at the stock exchange during the first nine months of 2022 is due to a set of technic factors that have culminated in growing trading, primarily speculations in “cheap stocks” and profittaking involving selected stocks, he said.

Wugayyan predicted this high demand for operating shares to continue during December, given year-end closure for many banks and service companies.

For his part, Kuwait Dealers Association Chairman Mohammad Al-Tarrah believed that December trading would be in the interest of corporate shares that made better financial results during the first nine months of this year than the same period last year.

Predicting rising main indexes during the last quarter of 2022, Al-Tarrah said that trading in the reporting period mostly went to the banking sector thanks to “flexible orders” from financial portfolios and some investment funds that prefer stocks. (KUNA)