Decline in blue-chips wastes KSX 15 gains in 18 months

KUWAIT, Dec 20 (KUNA) -- The main indices of Kuwait Stock Exchange (KSE) have seen a severe drop in last week's sessions, causing a decline in the blue-chips, according to a specialized economic report.
The report released by Al-Oula Financial Brokerage Co. said the major fall in the bourse was stimulated by random sell-offs' pressure, while the other Gulf stock markets witnessed a drastic fall amid continuing decline of oil prices, thus affecting investor's sentiments and prompting them to abstain from trades.
KSE ended last Thursday's session with a rise in its three main indices, said the report, adding that the price index recorded 6,230.09 points, gaining 114.46 points, the weighted index gained 8.19 points and the KSX 15 put on 25.59 points.
Meanwhile, VIVA company was enlisted in the KSE last Sunday, trading at 700 fils per share in the opening session, while the highest price for the company reached 750 per share in the same session, noted the report.
VIVA's share ended the session at 650 fils per share with a volume of 18.1 million shares and a value of KD 12.3.
Some portfolios and investment funds including the national portfolio have increased their market activities, especially with the presence of moderate share prices, leading some shares of the KSX 15 to rise in the last two sessions.
Moreover, the prevailing bearish trend at the national bourse had impacted negatively on the main index, KSX 15, which posted losses, thus wasting gains of the past 18 months. The third index was launched in May 2012 as an indicator of trades in blue chips.
The optimistic point of view mentioned in the Fitch Ratings report on Kuwait's economy attracted investors toward bank shares. Fitch noted that bad debts had reached their highest limits in the GCC countries. Morover, the report also noted that Kuwait was resilient to the decline in oil prices this year.(end) mka.abd.ag