Equity Markets Rally as Federal Reserve Cuts Rates by 50 bps
| 20/09/2024 | 13/09/2024 | % Change | |
| BLOM Stock Index | 2,010.73 | 1,964.65 | 2.35% |
| Average Traded Volume | 29,457.5 | 49,841 | -40.90% |
| Average Traded Value | 1,908,477 | 2,273,489 | -16.06% |
| Market Cap | 20,608,222,347.24 | 20,136,015,219 |
The BLOM Stock Index (BSI) compiled by BLOM Invest Bank daily increased weekly by 2.35% to reach 2,010.73 on September 20th, 2024 up from 1,964.65 on September 13th, 2024.
On the Beirut Stock Exchange (BSE), the real estate sector grasped the lion’s share of the BSE’s trading value with a stake of 99.3%, while the banking sector grasped the remaining 0.7% stake. The most noteworthy trades throughout the mentioned period included:
| 20/09/2024 | 13/09/2024 | % Change | |
| Solidere (A) | 84 | 89.95 | -6.61% |
| Solidere (B) | 88.2 | 89.75 | -1.73% |
| BLOM Listed | 7 | 3.02 | 131.79% |
| Audi (GDR) | 1.55 | 1.58 | -1.90% |
| Audi Listed | 1.8 | 1.7 | 5.88% |
| 20/09/2024 | 13/09/2024 | % Change | |
| BLOM preferred Shares Index | 27.78 | 27.78 | 0.00% |
As for the BLOM Preferred Shares Index (BPSI), it remained constant at 27.78 on September 20th, 2024.
| Index | Currency | 20/09/2024 | 13/09/2024 | % Change |
| S&P 500 | USD | 5,713.64 | 5,626.02 | 1.56% |
| Dow Jones | USD | 42,025.19 | 41,393.78 | 1.53% |
| NASDAQ Comp | USD | 18,013.98 | 17,683.98 | 1.87% |
*prices are as of the time of writing this report
US stock markets rose over the course of the week following the 50 bps rate cut by the Federal Reserve in addition to the expectation of further reductions this year and next year as new economic projections show that the US economy is improving progressively.
| Index | Currency | 20/09/2024 | 13/09/2024 | % Change |
| DAX | EUR | 18,815.11 | 18,699.40 | 0.62% |
| FTSE 100 | GBP | 8,283.87 | 8,273.09 | 0.13% |
| CAC 40 | EUR | 7,543.18 | 7,465.25 | 1.04% |
| STOXX600 | EUR | 518.28 | 515.95 | 0.45% |
*prices are as of the time of writing this report
Across the Atlantic, European stocks rose over the course of the week as STOXX 600 increased by 0.45%. The European markets is ending the week with an increase following major equity markets as traders are digesting the recent monetary policy decisions by the Federal reserve to cut rates by 50 bps and Bank of England to keep rates unchanged.
Similarly, DAX Germany, CAC 40 and FTSE 100 rose by 0.62%, 1.04% and 0.13% respectively reaching 18,815.11, 7,543.18 and 8,283.87.
| Index | Currency | 20/09/2024 | 13/09/2024 | % Change |
| NIKKEI | JPY | 37,723.91 | 36,581.76 | 3.12% |
| Hang Seng | HKD | 18,258.57 | 17,369.09 | 5.12% |
| Shanghai Comp | CNY | 2,736.81 | 2,704.09 | 1.21% |
*prices are as of the time of writing this report
In Asia, Hong Kong equity market led the Asian Markets gains this week, with an increase of 5.12% to reach 18,258.57 by September 20th, 2024 after the Federal Reserve 50 bps rate cut in addition to anticipated two more cuts this year of 25 bps each.
Likewise, Japanese NIKKEI rose by 3.12% to reach 37,723.91 by September 20th, 2024 affected by Fed’s 50 bps rate cut. In addition, Bank of Japan kept its policy rate unchanged at 0.25% and preserved its economic outlook developing gradually towards a modest recovery.
| Index | Currency | 20/09/2024 | 13/09/2024 | % Change |
| MSCI Emerging Market | USD | 1087.75 | 1,082.30 | 0.50% |
*prices are as of the time of writing this report
The MSCI Emerging Market index improved by 0.5% to reach 1,087.75.
| Index | Currency | 20/09/2024 | 13/09/2024 | % Change |
| S&P Pan Arab | USD | 981.76 | 965.05 | 1.73% |
| EGX30 – Egypt | EGP | 30937.69 | 30,497.83 | 1.44% |
| Saudi Stock Exchange | SAR | 12080.47 | 11,842.55 | 2.01% |
| Qatar Stock Exchange | QAR | 10464.15 | 10,398.32 | 0.63% |
| Abu Dhabi Securities Exchange | AED | 9493.15 | 9,350.32 | 1.53% |
| Dubai Financial Market | AED | 4421.52 | 4,380.49 | 0.94% |
*prices are as of the time of writing this report
The Arab Stock Market increased over the course of the week, in line with global markets.
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