KUWAIT CITY, Sept 15: Kuwait stocks trod water on Wednesday amid profit taking. The index inched 1.6 points higher in volatile helped by moderate gains in select counters. The blue chips were largely subdued even as investors appeared reluctant to take up fresh positions.
The market wound up at 6,826.70 points clawing back from losses earlier in the session while weighted index nudged 0.08 points up to 455.97 points. The volume retreated slightly after posting strong rebound on Tuesday. 255.35 million shares were transacted — a 4 percent drop from previous session. The bourse had kicked off the post-Eid trading on Tuesday with a solid gain led by Zain and has climbed 148 points in the last 7 days.
Among the day’s prominent gainers, Agility climbed 25 fils extending the gains in the previous day. It closed at KD 0.510 and saw a volume turnover of 8.29 million shares. Investment major KIPCO rallied 20 fils on back of 3.82 million shares and ended at KD 0.465.
Burgan Bank jumped 25 fils adding to the modest rise in the previous session and National Investment Co rose 10 fils. Zain held the ground unchanged at KD 1.320 after fluctuating in a 20 fils range whereas Wataniya Telecom dropped 20 fils. It wound up at KD 1.840. United Gulf Bank rose 5 fils and Egypt Kuwait Holding Co followed suit to end at KD 0.440.

The notable decliners were National Industries Group which retreated 10 fils after posting strong gains on Tuesday while Kuwait Gulf Links was down 10 fils at KD 0.206 with a volume turnover of 4.28 million shares. Gulf Bank slid 20 fils after trading 8.64 million shares. International credit rating agency Capital Intelligence has recently affirmed Gulf Bank’s Foreign Currency Long-Term and Short -Term ratings of BBB+ and A2, respectively with a ‘Stable’ Outlook.
The market opened weak and slipped below the red in early trade as profit taking kicked in after the recent gains. The index moved sideways for over an hour and sagged on renewed selling pressure to hit the day’s lowest level of 6,796.6 points. It clawed back thereafter on bargain buying and manage to end above the opening mark at close.

The top gainer of the day, Bayan Investment Co jumped 8.6 percent to close at KD 0.063 while Metal and Recycling Co rose 7.3 percent to stand next. Gulf Investment House dived 8.9 percent, the steepest decliner of the day, while Abyaar Real Estate topped the volume with over 23.12 million shares changing hands.
Despite the marginal gain, the market spread was biased towards the losers. 28 stocks advanced while 53 closed lower. Of the 120 counters active on Wednesday, 38 closed flat. 4957 deals worth KD 59.844 million were transacted — up 2.5 percent in value from the day before. KSE, with 209 listed companies, is the second largest bourse in the region.
The sectors closed mixed. Banking sector edged 0.3 percent higher while investment inched 0.1 percent up. Insurance was up 0.2 percent whereas real estate slipped 0.6 percent. Industrials was stagnant and services eroded 0.2 percent. Top performer food sector climbed 1.2 percent and non-Kuwaiti gained 0.5 percent.

The bourse has notched strong gains so far during week. The index has risen 77 points from start of the week. It is up 65 points from month’s opening mark and is trading 1 percent lower year-to date.
In the banking sector National Bank of Kuwait closed flat at KD 1.460 after vacillating in a 20 fils after pulling lower on Tuesday. Al Ahli Bank and Ahli United Bank too did not budge from their earlier marks whereas Commercial Bank was not traded during the session.
Kuwait International Bank added 5 fils on back off 21.63 million shares whereas Kuwait Finance House held the ground unchanged at KD 1.160. The stock had gained 5.77 percent during August and is trading 60 fils year-to-date. Boubyan Bank was down 10 fils at KD 0.580.

Momentum
Bank stocks had gained momentum in the second half of August on reports that government has given its go-ahead to the local lenders to finance the multi-billion projects. The government would also provide guarantees amounting to KD 10 billion to back these loans.
Investment stocks traded in a narrow range. Kuwait Financial Centre closed flat at KD 0.126 whereas Bayan Investment Co gained 5 fils to settle at KD 0.063 with a volume turnover of 7.68 million shares. Global Investment House inched 1 fils lower to KD 0.060. Al Madina for Finance and Investment Co has said that it has won an arbitration appeal against Global over a disputed share repurchase agreement.
KAMCO shed 5 fils to end at KD 0.355 whereas Al Safat Investment Co was not traded during the session. Al Tamdeen Investment Co slid 15 fils adding to the moderate loss on Tuesday. In the real estate sector National Real Estate Co rose 10 fils on back of 3.7 million shares whereas Tamdeen Real Estate Co pulled 10 fils lower.
Kuwait Portland Cement Co was unchanged at KD 1.480 and Boubyan Petrochemical Co dropped 20 fils to end at KD 0.510. Gulf Glass Manufcaturing Co was stagnant at KD 0.750 with thin trade and Mena Holding Co fell 2 fils to close at KD 0.190.

In the bourse related news, Gulf Cables and Electrical Industries Company has chalked a net profit of KD 19,092,520 and earnings per share of 91 fils compared to a profit of KD 1,224,114 and earnings per share of 6 fils for the same period last year. In six-month period ending June 30, the net profit touched KD 22,069,735 and earnings per share worked out at 105 fils.
Al-Enmaa Real Estate Company has posted a profit of KD 99,862 and earnings per share of 0.22 fils in the second quarter as compared to a loss of KD 1,508,451 and loss per share 3.35 fils for the same period last year. In the six-month period ending June 30, the company recorded a profit of KD 596,487 and earnings per share of 1.32 fils.
The Industrial and Financial Inv Co announced the financial results for the second quarter and the six months ending June 30, 2010.

In the 2nd quarter loss amounted to KD 2,800,493 while loss per share clocked 6.89 fils against profit of KD 552,852 and earnings per share of 1.36 fils for same period in 2009. In the first half of 2010, the loss totaled KD 2,961,684 and loss per share worked out at 7.28 Fils.
Kuwait Stock Exchange has suspended the trading of shares of the following companies for failing to submit the financial results in stipulated time. They are : Safat Global Holding, Investment Dar Company, International Leasing and Investment Co, Villa Moda Life Style, Securities House Company, International Investment Group, Network Holding Co, Al-Ahleia Holding Company, Pearl of Kuwait Real Est Co, Gulfinvest International Co, Kuwait Financing and Investment Co, Al Madar Finance and Investment Co, Al-Safat Investment Co, Aayan Leasing and Investment Company, Equipment Holding C0 and Al-Abraj Holding Co.

The following companies were suspended for carrying forward losses exceeding 75 percent of capital: Gulfinvest International Co, Equipment Holding Co, Network Holding Co. While the companies failing to pay annual fees of 2010-2011 were as follows: International Investment Group, Pearl of Kwt. Real Est Co, Safat Global Holding, Al-Abraj Holding Co and Network Holding Co.