KUWAIT CITY, March 10: Kuwait index trod water on Wednesday as stocks closed mixed. The index inched 3.9 points lower trimming steeper losses earlier in the day. Market mood was largely subdued even as investors await the outcome of the ongoing Zain stake sale deliberations. Commercial Bank of Kuwait and Kuwait Finance House weighed on the day’s trading while Zain closed flat.
The market wound up at 7436.80 points after posting a strong rebound in the previous session. Volume turnover rose 13.2 percent to 576.73 million. Market liquidity has been robust in the past weeks after peaking at 913 million on Feb 15.
Sectorwise, banking sector dropped 0.6 percent, the worst performer of the day, while investment inched 0.1 percent higher to emerge as the top gainer. Services eased 0.1 percent whereas real estate closed flat. Industrial sector too was stagnant during the session.

Commercial Bank slid 30 fils erasing the gains in the previous session. It wound up at KD 0.920. Kuwait Finance House shed 20 fils, extending the steep loss in the previous session to close at KD 1.140. The lender had climbed 13.46 percent in February and is up 30 fils since the start of the year.
Zain did not budge from its previous close of KD 1.320 after trading 2.98 million shares. The telecom major expects net proceeds of up to $5bn from the Africa stake sale to India’s Bharti after paying certain liabilities and remaining part of the returns will be reflected in the company’s second quarter accounts.
The top gainer of the day, Gulf Petroleum Investment Co spiked 9.3 percent to close at KD 0.059 while Mubarrad Transport Co climbed 8.9 percent to stand next. Advanced Transport Co slid 8.8 percent, the biggest loser of the day. 8024 deals worth KD 83.34 million were transacted — up 7 percent from the previous day.

Wataniya Telecom held the ground unchanged at KD 1.600 after moving in
a 20 fils range while Agility fell 10 fils to KD 0.630 after stagnating on
Tuesday. The logistics service provider had risen 8.77 percent in February and is up 50 fils year-to-date.
The market opened on a weak note and eroded gradually as profit taking weighed on select counters after the string gains in the previous session. The index bottomed at 7401.2 points almost half way into the session and saw modest recovery thereafter. It continued to rise for most part of the second half of the session as buying recommenced at lower levels and closed shade below the opening mark.

Mixed
The bourse had been mixed so far in the week and has gained 6 points from Sunday’s opening level. It had climbed 48 points so far in the month buoyed by the Zain stake sale and its positive impact on the market sentiments and is trading 8 percent higher year-to-date.
Banking stocks moved in both directions. National Bank of Kuwait closed flat at KD 1.160 and saw a volume turnover of 2.26 million shares. The lender’s shareholders have also given their nod to increase the bank’s capital by 10 percent of the paid up capital following the addition of bonus shares at a nominal value of 100 fils and premium issue of 400 fils per share.
Gulf Bank fell 5 fils to settle at KD 0.360. Moody’s has downgraded the bank’s financial strength rating to D- from D+ and its long term global local currency and foreign currency deposit ratings to Baa2 from A3. All ratings will now carry a stable outlook.

Al Ahli Bank too was down 5 fils at KD 0.480 whereas Bank of Kuwait and Middle East gained 10 fils. Burgan Bank edged 5 fils higher after closing lower in the previous session and Boubyan Bank was up 5 fils at KD 0.455.
Investment stocks were largely muted. National Investment Co held its ground unchanged at KD 0.430 and so did KIPCO which wound up at KD 0.520. Securities House Company and Aref Investment Group slipped 4 fils each whereas Aayan Leasing and Investment Co gained 4 fils. Global Investment Co closed flat at KD 0.102.
International Financial Advisers flunked 2 fils to close at KD 0.106.
The company has won the Central Bank’s nod to repurchase or sell a 10 percent maximum of its issued shares over a six-month period starting from on February 13, 2010.
The industrials swayed range bound in both directions. Kuwait Cement Co added 20 fils to close at KD 0.710 while National Industries Group closed unchanged at KD 0.395. Kuwait Portland Cement sagged 20 fils to wind up at KD 1.280 after posting strong gains on Tuesday.

Shed
Kuwait Building Materials Manufacturing shed 25 fils to close at KD 0.390 whereas Mena Holding Co was up 5 fils at KD 0.310. Kuwait Gulf Links rose 20 fils, adding to an identical rise in the day before while IFA ( Hotels and Resorts) eroded 20 fils. Combined Group Contracting Co gained 20 fils and Advanced Technology Company dived 50 fils.
Kuwait Logistics Company climbed 25 fils to settle at KD 0.380 whereas Kuwait Food Co ( Americana) did not move in either direction. Egypt Kuwait Holding Co inched 1 fils lower and United Projects Group rose 15 fils.
In the bourse related news, Kuwait Stock Exchange announced the suspension of shares trading of the some companies for non-submission of financial statements in the stipulated period. They are : Pearl of Kuwait Real Estate Company Second, Al Safat Global Holding Company Network Holding Company , Al Dar Investment Company, International Leasing and Investment Company , Villa Moda Lifestyle Company, Al Abraj Holding Company and Nafaes Holding Company.

HAYAT Communications Company announced that it has signed a Letter of Intent with Malaysia-based R&A Telecommunications Sdn. Bhd. to purchase a 49 percent stake for 8 million ringgits (nearly KD 750 thousand).
The company reserves its right of not concluding the final contract according to its absolute estimation of the due diligence results on the Malaysian firm, which is scheduled to be finalized before April 11, 2010.
Kuwait Reinsurance Company has posted a net profit amounting to KD 914,456 and earnings per share of 8.75 fils in the year 2009 compared to a net loss of KD 1,115,527 and loss per share of 10.67 fils in the previous year.
The Board of Directors has also recommended distributing cash dividends at 5 percent of the share nominal value and bonus shares at 5.22939 of the paid up capital.