Kuwait Stock Exchange Gains 707 Million Dinars in a Week Despite 19% Drop in Liquidity

The Kuwait Stock Exchange concluded the week ending with today’s session on November 5 with broad gains across its indices, adding approximately 707 million dinars to its market capitalization over the week, despite a clear decline in liquidity levels and trading volumes compared to the previous week.

The positive weekly performance followed a weak start to trading in November, before the indices regained their upward trajectory starting from Tuesday’s session. This recovery was supported by renewed buying interest in leading stocks and several small- and mid-cap shares, coinciding with reduced geopolitical concerns in the region and improved investor sentiment.

The market capitalization of the exchange rose from approximately 50.626 billion dinars at the end of the previous week to 51.333 billion dinars by the close of trading on Thursday, representing gains of about 707.1 million dinars, or 1.4%.

The General Market Index recorded weekly gains of approximately 1.1%, rising from 8,453.99 points to 8,546.71 points. The First Market was the best-performing among the main indices, increasing by about 1.13% from 8,892.55 points to 8,992.84 points. Meanwhile, the Main Market Index also closed the week higher by approximately 0.94%, reaching 8,534.66 points, compared to 8,454.85 points at the end of the previous week.

These gains occurred despite the week beginning under selling pressure, before market activity improved during the second half of the week. Tuesday’s session saw the General Market Index rise by 1%, with gains continuing into Wednesday’s session with an additional increase of 0.56%.

Conversely, liquidity did not keep pace with the index gains. Weekly trading value declined by 19.2%, from approximately 409 million dinars in the previous week to 330.65 million dinars in the week ending with today’s session. The volume of shares traded also fell by 21.6% to approximately 1.289 billion shares, down from 1.644 billion shares in the previous week, while the number of transactions decreased by about 14%, from 97,600 to approximately 84,000.

The First Market continued to capture the largest share of trading activity, with a value of approximately 225.9 million dinars, accounting for about 68.3% of the exchange’s total weekly liquidity, compared to 65.6% in the previous week.

In contrast, liquidity in the Main Market amounted to approximately 104.75 million dinars, representing 31.7% of total trading volume, down from approximately 140.68 million dinars in the previous week, a decline of nearly 25.5%.