Main index rallies 3.50 pct in February

Stock Exchange (KSE) ended the month of February with variance on its indices. The price index ended the month with an increase amounted to 3.50%, the weighted index declined by 0.10%, and KSX-15 Index decreased by 0.85% compared to the closings of January. Furthermore, last month’s average turnover increased by 5.46%, compared to the preceding month, reaching KD 34.89 million, whereas trading volume average was 507.33 million shares, recording increase of 56.89%.

The Price Index was able to close the month in the green zone supported by the activity that accompanied the performance of many listed small-cap stocks, which witnessed purchasing and quick speculative operations, and was positively reflected on the index performance during most of the trading sessions, causing the index to close at its highest since May 2012.

On the other hand, both Weighted Index and KSX-15 Index recorded limited decline by the end of the month, due to the quick profit collection operations on large-cap and leading stocks, in addition to the slow performance of the other stocks.

Moreover, the average trading activity during the month of February was higher than the previous month, despite the fewer trading days in February compared to January, on both value and volume levels. Furthermore, the market is currently witnessing a watch and cautious state, waiting for the remaining listed companies to announce its financial results, although two months have already passed of the legal period, which will end by this March, and it is expected to crowd with announcements of financial results.

For the annual performance, the price index ended last week recording 8.92% annual gain compared to its closing in 2012, while the weighted index increased by 3.38%, and the KSX-15 recorded 2.83% increase.

By the end of the month, the price index closed at 6,463.47 points, up by 3.50% from the month before closing, whereas the weighted index registered a 0.10%, monthly loss after closing at 431.75 points. Moreover, the KSX-15 index closed at 1,037.64 points, decreasing with 0.85%.

Sectors’ Indices

All of KSE’s sectors ended last month in the green zone except for tow sector. Last week’s highest gainer was the Technology sector, achieving 17.93% growth rate as its index closed at 1,051.95 points. Whereas, in the second place, the Health Care sector’s index closed at 1,022.93 points recording 10.05% increase. The Oil & Gas companies sector came in third as its index achieved 9.45% growth, ending the week at 1,176.76 points. The Real Estate sector was the least growing as its index closed at 1,048.03 points with a 1.10% increase.

On the other hand, the Telecommunications sector headed the losers list as its index declined by 1.22% to end the week’s activity at 932.10 points. The Banks sector was second on the losers’ list, which index declined by 1.03%, closing at 1,021.29 points.

Sectors’ Activity

The Real Estate sector dominated total trade volume during last month with 3.53 billion shares changing hands, representing 40.95% of the total market trading volume. The Financial Services sector was second in terms of trading volume as the sector’s traded shares were 33.80% of last month’s total trading volume, with a total of 2.92 billion shares.

On the other hand, the Financial Services sector’s stocks where the highest traded in terms of value; with a Turnover of KD 176.60 million or 29.78% of last month’s total market trading value. The Real Estate sector took the second place as the sectors last month Turnover of KD 147.88 million represented 24.94% of the total market trading value.