The Beirut Stock Exchange bounced back this week, as the BLOM Stock Index (BSI) recorded a 0.26% uptick to close at 1,175.19 points.
The average traded volume went up from 67,761 shares worth $623,759 to 158,297 shares worth $1.04M. As for the market capitalization, it widened by 25.57M since last week to $9.82B.
The BSI outperformed its regional peers, the Morgan Stanley Emerging Markets Index (MSCI), the S&P AFE40 Index, and the S&P Pan Arab Composite Large Midcap Index which declined by 0.26%, 0.79% and 1.50% to 990.10 points, 68.89 points and 147.42 points, respectively.
Among the Arab world, Amman’s stock exchange was in the lead adding 1.46% since last week, followed Muscat’s bourse and Tunisia’s financial market that inched up by 0.93%, and 0.91%, respectively.
On the other hand, Kuwait’s stock exchange was the worst performer dropping 2.99%, as Kuwait Finance House dropped 2.7% after Moody’s affirmed the Islamic lender’s ratings with a negative outlook. Saudi Arabia’s stock market and Dubai’s bourse followed declining by 2.82% and 2.02%, respectively. Worth noting that the Saudi index reached its lowest level since the 6th of March on Monday, as oil prices prolonged their drop after news that Japan, one of the world’s largest crude importers, had slipped into recession.
Back to the BSE, the banking sector contributed for around 72.51% of total traded value and was followed by the real estate sector with a share of 27.47% and the industrial sector with a minor share of 0.02%.
In the banking sector, BLOM GDR shares and Audi listed shares increased by 0.53% and 1.61% to $9.55 and $6.30, respectively. In contrast, Byblos listed shares went down by 1.23% to $1.60.
The BLOM Preferred Stock Index (BPSI) strengthened as well, posting a 0.08% uptick to 105.27 points, as 3 traded preferred shares increased in price, while 2 decreased. Audi preferred shares class “G”, Byblos preferred shares 2008 and Bank of Beirut preferred shares class “H” gained 0.50%, 0.10% and 0.39% to $101.50, $101 and $26, respectively. Meanwhile, Byblos preferred 2009 shares and BEMO preferred 2013 shares lost 0.39% and 0.20% to $101.10 and $101, respectively.
In the real estate sector, Solidere shares class “A” broke its sixth week in a row downtrend, adding 0.18%, to close the week at $11.35. In contrast, Solidere “B” shares dropped 0.18%to $11.33.
In the industrial sector, Ciments Blancs bearer shares gained 7.14% to $3.75.
While the country risk seems to have increased during the week as Lebanon’s 5Y CDS spread widened by 27 basis points, the stock market became rather undervalued and seems to be benefitting from a higher demand.