The positive momentum of the Lebanese bourse continued for the third week in a row following improving performance in the banking, real estate and industrial sectors. The BLOM Stock Index (BSI) added a weekly 0.38% to 1,166.85 points, narrowing its year-to-date loss to 0.23%. Hence, market capitalization rose by $36.75M to $9.63B while the average daily traded volume fell from 218,411 shares valued at $2.01M to 168,573 shares worth $931,490.
International and regional equity markets rebounded after a slight recovery in global oil prices this week. As a matter of fact, investors’ hopes rose this week following potential breakthrough in the global oil output impasse. In this context, the S&P Pan Arab Composite Large-Mid-Cap Index recovered last week’s loss recording a 3.25% weekly upturn, while the Morgan Stanley Emerging Markets Index (MSCI) and the S&P AFE 40 Index posted respective 4.66% and 3.60% weekly gains.
In the Arab world, stock markets also reflected optimism regarding a possible global agreement between oil producers on freezing oil production at January’s level. In fact, the effect of credit ratings’ downgrades for Saudi Arabia, Oman and Bahrain this week passed unnoticed with the bourses of the 3 countries respectively recording weekly rises of 3.94%, 1.15% and 0.52%. However, Qatar stock market was the week’s biggest winner following a 5.07% weekly increase, while Amman’s stock exchange was the week’s sole loser after dropping by 0.43% from last week’s level.
On the Beirut Stock Exchange, the banking sector accounted for 84.27% of the week’s traded value, while the real estate and industrial sectors respectively contributed to 15.32% and 0.41% of the total.
In the banking sector, Audi’s listed shares and Global Depository Receipts (GDR) progressed this week by 0.82% and 0.65% to $6.15 and $6.21, respectively. In contrast, the GDRs of BLOM and the listed shares of Byblos slipped by weekly 0.10% and 0.61% to $9.99 and $1.64, respectively.
On another front, the BLOM Preferred Shares Index (BPSI) remained at last week’s level of 106.01 points as no price changes were recorded on the Lebanese preferred shares this week.
The real estate sector saw positive performance this week as both Solidere shares class “A” and “B” added 1.79% and 1.20% to $10.24 and $10.12, respectively.
In the industrial sector, HOLCIM shares inched up by 0.07% to end the week at $14.36.
In the coming weeks, the Beirut Stock Exchange is expected to keep on mimicking investors’ perspective regarding any concrete development that may help in unfolding the direction of the political situation and the continuing presidential stalemate.