Slow Post-Holiday Activity on the Beirut Stock Exchange

The Beirut Stock Exchange (BSE) witnessed a poor showing, where the banking sector stocks pushed the BLOM Stock Index (BSI) down by 1.69% to 1,205.06 points in the last two weeks. This could have been due to the recent political disputes between parties and to the fact that the ex-dividend date for Audi shares, on the Beirut stock market, was on the 8th of April. As for the average traded volume, it narrowed to 55,662 shares worth $556,973, compared to 63,261 shares amounting to $472,235, on the 2nd of April. Accordingly, market capitalization narrowed from $10.32B to $10.15B.

On a comparative scale, the BSI lagged behind the S&P Pan Arab Composite Large-Mid-Cap Index that gained 4.91% from April 2nd. The latter index saw a correction following the downturn in the Arab equity markets due to the recent political tribulations in the region. In addition, the BSI was also outpaced by the S&P AFE 40 Index that increased by 5.03% over the same period. Similarly, the Morgan Stanley Emerging Markets Index (MSCI) outpaced the Lebanese gauge as it grew by 7.05%.

On the regional front, oil prices increased by 9.84% from April 2nd,positively affecting GCC bourses. Dubai was the top performer, surging by 12.87% over the same period, followed by Saudi-Arabia and Abu Dhabi with respective increases of 5.45% and 2.58%.

In contrast, Bahrain was the worst performer, declining by 2.34% from April 2nd, while Egypt lost 1.09%, due to the continuous spillover from the involvement in the airstrikes on Yemen.

Back to Lebanon, the banking sector grasped 73.57% of total traded value, while the real estate sector slightly contributed to the remaining 26.43%.

 In the banking sector, BLOM listed shares increased by 0.41% to close on Friday at $9.80 while Bank Audi listed and GDR shares respectively lost 7.41% and 4.35% to $6.75 and $6.90. Furthermore, Bank Byblos, Bank of Beirut and BEMO Bank common shares decreased by a 0.57%, 1.63% and 1.05% to  $1.74, $18.10 and $1.88, respectively.

Similarly, the BLOM Preferred Shares Index (BPSI), declined by 0.51% to 105.90 points, as Bank Audi’s preferred classes “F” and “G” dropped by 3.66%, 2.91% to settle at $100 each while BLC preferred class “A” shares augmented by 4% to close the session at $104.00.

The real estate sector saw a mixed activity, where Solidere shares class “A “fell by 1.17% to $11.02 while that of class “B” shares inched up by 0.09% to $11.12.

In the industrial sector, HOLCIM shares increased by 8.33% to close at a 3 year high of $16.25 per share.

Finally, the Beirut Stock Exchange is expected to exhibit varied performance as respective dividend payments for BLOM preferred 2011 and common shares will take place on the 22nd and 23rd  of April. In addition, activity might recover as the holiday season has ended.

 

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