Profit-taking Pressures Kuwait Stock Exchange Amid 69.5 Million KD Liquidity

The Kuwait Stock Exchange recorded declines at the close of today’s trading session, as all its indices finished lower, weighed down by a sharp drop in the main market index, which lost more than 3 percent of its value, while the First Market index saw only a limited decline.

This performance followed strong gains recorded by the exchange in yesterday’s session, during which several stocks saw profit-taking operations, impacting trading activity today despite the resilient performance of a number of shares.

Gulf Insurance was the most prominent factor weighing on the main market index, plummeting by more than 40.4 percent on limited trading volumes. Notably, it was the same stock that had helped drive the index up by more than 5 percent during Monday’s session.

Conversely, some stocks continued to post gains, with Yobak and Thuraya each rising by more than 7 percent. Meanwhile, Tajara share came in second among the most declining stocks after Gulf Insurance, dropping by approximately 10.75 percent.

Regarding trading value during the session, it fell by 17.2 percent to reach 69.5 million dinars, compared to 84.1 million dinars in Monday’s session, signaling a slowdown in activity pace alongside limited profit-taking.

The First Market continued to capture the largest share of liquidity at 65 percent, while the Main Market accounted for the remaining 35 percent.

A total of 131 stocks were traded, with prices rising for 48 stocks, falling for 63 stocks, and remaining stable for 20 stocks. Weighted indices declined in 7 sectors in the market, led by the insurance sector, which dropped by 24.10 percent, and telecommunications, which fell by 0.86 percent. Meanwhile, indices rose in 5 sectors, headed by the technology sector, which gained 5.04 percent, and basic materials, which rose by 1.84 percent, while prices in the utilities sector remained stable.

In terms of index performance, the General Market Index recorded a decline of approximately 66.76 points, equivalent to 0.75 percent, closing at 8,847 points. A volume of 243.1 million shares was traded through 18,342 deals.

The First Market Index also declined by approximately 16.70 points, or 0.18 percent, closing at 9,295 points, with a trading value of 45.4 million dinars and a volume of 122.5 million shares executed through 9,372 deals.

The Main Market Index suffered losses of approximately 318.13 points, or 3.45 percent, reaching a level of 8,898 points, with liquidity valued at 24.1 million dinars and volumes of 120.5 million shares traded through 8,970 deals.

As a result, the market capitalization of the exchange lost approximately 399.5 million dinars, dropping to 52.94 billion dinars, compared to 53.34 billion dinars at the close of Tuesday’s session, representing a decrease of approximately 0.74 percent.

Regarding the most traded stocks by value, Bitak ranked first with 6.1 million dinars, closing at a price of 788 fils, followed by Al-Watani with 5.8 million dinars, closing at 862 fils, then GFH with 5.3 million dinars, closing at 173 fils, Gulf Bank with 3.6 million dinars, closing at 360 fils, and fifth was Kuwait Investment Company with 2.1 million dinars, closing at 184 fils.

Yopak shares led the list of top gainers, rising 7.81 percent on a turnover of 1.74 million shares, to reach a price of 207 fils. They were followed by Tharia, up 7.69 percent on a traded volume of 7.73 million shares, closing at 224 fils. Al-Anzima came third, gaining 5.04 percent on a turnover of 1.74 million shares, to reach 855 fils. Cables ranked fourth, up 4.15 percent on a traded volume of 188,500 shares, reaching a price of 1.705 dinars. Metals took fifth place, rising 3.27 percent on a turnover of 590,500 shares, to close at 158 fils.

On the other side, Gulf Insurance shares led the list of biggest decliners, plunging 40.41 percent on a turnover of 7,200 shares, to reach a price of 1.613 dinars. They were followed by Tijara, down 10.75 percent on a traded volume of 8.46 million shares, falling to 166 fils. Ajeel came third, dropping 3.90 percent on a turnover of 50,100 shares, closing at 296 fils. Al-Nakheel ranked fourth, down 3.76 percent on a traded volume of 312,900 shares, falling to 256 fils. Tamdeen Investment rounded out the top five losers, declining 2.34 percent on a very low turnover of just 510 shares, closing at 1.250 dinars.