"The Share": 11.42 billion dinars in liquidity at the Kuwait Stock Exchange over 7 months

- July Indicators

- 1.5% increase in the First Market Index

- 2.4% growth in the “Main 50” Index

- 0.6% rise in the “General” Index

- 3.6% decline in the “Main” Index

The Al-Shal report on the performance of the Kuwait Stock Exchange during July 2026 recorded mixed results compared to last June, as the average daily trading value declined despite positive performance for most market indices. The First Market Index rose by approximately 1.5%, the Main Market 50 Index by 2.4%, and the General Market Index by 0.6%, while the Main Market Index fell by approximately 3.6%.

The report noted that absolute stock exchange liquidity was low compared to June, reaching 1.602 billion dinars versus approximately 2.131 billion, representing a 24.8% decline. This is understandable given the resumption of armed operations in the region.

The average daily trading value for the month stood at approximately 72.8 million dinars, marking a 28.3% decrease from the June average of approximately 101.5 million.

Liquidity volume in the stock exchange during the first seven months of 2026 (i.e., 138 working days) reached approximately 11.424 billion dinars, bringing the average daily trading value for the period to approximately 82.8 million. This represents a 23.8% decline compared to the same period in 2025, which had an average daily trading value of approximately 108.6 million, and a 23.1% decline compared to the 2025 average of approximately 107.6 million.

The report highlighted that liquidity trends since the beginning of the year indicate that half of the listed companies received only 6.7% of that liquidity. Among them, 50 companies received approximately 2.7% of that liquidity, while two companies had no trading activity at all. Conversely, relatively small and liquid companies benefited significantly: 12 companies, representing approximately 3.2% of the total market capitalization of listed firms, captured approximately 20.3% of the stock exchange’s liquidity. This means their share of liquidity was approximately 6.3 times their contribution to market value, indicating that high liquidity activity still excludes about half of the listed companies, while strongly favoring companies with minimal market capitalization.

The report also addressed the distribution of liquidity between the two markets during July 2026. The First Market (39 companies) accounted for approximately 922.5 million dinars, or 57.6% of the stock exchange’s liquidity. Within this market, approximately half of its companies captured 74.6% of its liquidity, or 43% of the total stock exchange liquidity, while the other half received the remainder, approximately 25.4% of its liquidity. Two companies accounted for approximately 32.6% of its liquidity: Kuwait Finance House with approximately 17.5% and National Bank of Kuwait with approximately 15.1%. The First Market’s share of total stock exchange trading value during the first seven months of the current year reached approximately 67.4%.

The Main Market (100 companies) accounted for approximately 678.7 million dinars, or 42.4% of the stock exchange’s liquidity. Within this market, 20% of its companies captured 76% of its liquidity, while the remaining 80% of its companies received only 24% of its liquidity, indicating a high level of liquidity concentration. The Main Market’s share of total stock exchange trading value during the first seven months of the current year reached approximately 32.6%.

Comparing the distribution of liquidity between the First and Main Markets, we observe a decline in the Main Market’s share of total liquidity for the period elapsed in 2026 compared to the same period in 2025, when the First Market’s share was 56.8%, leaving approximately 43.2% for the Main Market’s liquidity.