Following the implementation of the annual review of the Stock Exchange for 2024, the market indices in Kuwait experienced a collective surge in the initial sessions of the week, fueled by robust trading activity, particularly among leading companies.
The Premier Market index notably climbed by 96.5 points marking a 1.07% increase to reach 8058.1 points; similarly, the ‘Main 50’ and ‘Main’ indexes saw rises of 0.22% and 0.41% respectively, while the general index achieved a growth of 1.07%, pushing its gains for the year to 7.5%, reports Al-Qabas daily.
During the review, three companies – the National Bank of Kuwait, Salhiya Real Estate, and STC – transitioned from the main market to the first market. This transition, coupled with other factors, propelled the market value of listed companies on Sunday’s session to rise by 1.07%, totaling 43.5 billion dinars surge since the beginning of 2024 stands at 7.5%.
In terms of trading activity, KFH stock emerged as the leader, witnessing a 2.19% increase and accounting for 33% of the total market liquidity, which surpassed 80 million dinars. The trading volume amounted to 243.37 million shares across 14.4 thousand transactions.
Optimism pervades Kuwait’s market, buoyed by expectations surrounding the new government’s economic policies and the recent developmental strides witnessed in the stock exchange. Notable financial performances by leading companies and banks in 2023, characterized by robust profit growth and distributions, further contribute to investor confidence. Despite regional geopolitical tensions and rising inflation rates globally, Kuwait’s Stock Exchange outpaced its Gulf counterparts in January, recording a 6.6% growth, the highest in five years.
Foreign investors continue to inject funds into Kuwait’s listed companies, especially in the First Market, with net purchases amounting to approximately 43.32 million dinars in January. Economic indicators signal positive shifts in bank credit, real estate activity, and stock market performance, with the momentum expected to persist amidst ongoing major project awards and economic legislative reforms aimed at enhancing the business environment.
Overall, January witnessed widespread gains across all market sectors, with the Premier Market index surpassing 8,000 points, reflecting institutional investors’ increasing dominance in trading activities.
