ASE Edges Up Despite Financial Index Drag

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October 19, 2017-November 19, 2017

By Zain Majali

The General Index appreciated by 0.19 percent during the period to close at 2,100 points. However, it remains 3.24 percent lower compared to its close of last year, and 2.22 percent lower compared to its levels during the same period of last year.

On a more detailed level, the Financial Index lost 0.46 percent and was the only decliner among the sector’s main indices. Real estate was the worst performing financial sub-index, dropping 3.22 percent.

Noor Capital Markets (NCMD) was the worst performing stock within the real estate sub-sector as it lost 9.62 percent to close at JD0.47. The banking sub-index also lost 0.43 percent as Cairo Amman Bank (CABK) fell by 4.70 percent to close at JD1.42. Meanwhile, the diversified financial services sub-index was the second best performing financial sub-index as it gained 0.99 percent. Union Investment Corporation (UINV) led the diversified financials sub-sector with a 15.65 percent gain to close at JD1.33. The insurance sub-index gained 1.34 percent and was the best performing of the financial sub-indices.

The Industrial Index outperformed the financial and services indices as it gained 2.08 percent on the back of a solid performance from the tobacco & cigarettes sub-index, which appreciated by 8.55 percent.

Textiles, leathers, & clothing was the only other industrial sub-index to gain ground, rising 0.76 percent. The best performing textiles, leathers, & clothing stock was Akary for Industries and Real Estate Investments (WOOL), which gained 25.64 percent to JD1.96. On the other hand, the worst performing industrial sub – indices were the printing & packaging sub-index, which shed 4.93 percent, and the mining & extraction industries sub-index, which lost 4.39 percent. The worst performing stock within the printing & packaging sub-sector was Al-Ekbal Printing and Packaging (EKPC), which lost 4.93 percent to JD3.28, whereas the worst performer within the mining & extraction industries sub-sector was Northern Cement (NCCO), which lost 11.72 percent to JD2.41.

At the same time, the Services Index gained 0.18 percent, where the best performing sub-index was the commercial services sub-index, which gained 3.81 percent. Nopar for Trading and Investments (NOTI) was the best performing stock within the sub-sector as it gained 18.18 percent to close at JD2.34. Not far behind was the technology & communications sub-index, which went up by 3.44 percent to become the second best performer. The best performing technology & communications stock was Al Faris National Company for Investment and Export (CEBC), which gained 27.27 percent to close at JD1.26. In contrast, the worst performing services sub-index was the educational services sub-index, which lost 2.04 percent as Arab International for Education and Investment (AIEI) dropped 5.50 percent to close at JD2.75.

The best performing stock for the period was Arab Union International Insurance (AIUI) from the insurance sub-sector, which gained 33.64 percent to close at JD1.43. AIUI was followed by Union Tobacco and Cigarette Industries (UTOB) from the tobacco sub-sector, which gained 31.36 percent to close at JD3.77. Also from the insurance sub-sector came the third best performer, Philadelphia Insurance (PHIL), which gained 28.75 percent to close at JD1.03.

Meanwhile, the worst performing stock for the period was Tuhama for Specialized Investment (THMA) from the diversified financial services sub-sector, which lost -26.92 percent to close at JD0.95. Specialized Jordan Investment (SIJC) from the commercial services sub-sector dropped 14.29 percent to close at JD0.24 and become the second worst performer for the period. The third worst performing stock was Nutri Dar (NDAR) from the food & beverages sub-sector, which shed 13.04 percent to close at JD0.80.

On a different note, market activity slid 6 percent during the period and total market turnover came to JD97.7 million. The number of shares traded also fell by 6 percent to 91 million. The financial sector accounted for 56 percent of total market activity with a JD54.8 million trading value, which is 7 percent greater than the month before the last. The services sector’s turnover, however, fell by 6 percent to JD20.8 million. Services sector trades made up 21 percent of total market turnover. The industrial sector’s turnover of JD22 million, was 27 percent less than the month before the past, and the sector accounted for 23 percent of the market’s activity.

The most active stock for the period was Al Eqbal for Investment (EICO) from the tobacco & cigarettes sub-sector. EICO traded JD9.6 million, and gained 7.81 percent to close at JD28.03. The second most active stock was UINV from the diversified financial services sub-sector, which had a turnover of JD8.8 million. Finally, Arab Bank (ARBK), from the banking sub-sector, traded JD6.6 million and shed 2.55 percent during the period to close at JD5.35.

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