Jordan Times
Sunday, April 15, 2007
weekly analysis: Amman
Stock Exchange
AMMAN — The Amman Stock Exchange (ASE) index edged up slightly last week
reflecting positions taken by investors in anticipation of first quarter results
achieved by companies.
The index finished last week at 6070.6 points, an increase of 0.41 per cent.
Market capitalisation stood at JD23.3 billion.
Figures published by the Department of Statistics showed a 9.6 per cent increase
in gross domestic product (GDP) per capita in 2006 compared to 2005. However,
the inflation rate measured by the consumer price index increased by 6.3 per
cent during the same period.
Calculating the difference between the growth in GDP per capita and the increase
in inflation, the real growth of GDP per capita drops to reach 3.3 per cent
compared to 5.5 per cent in 2005.
The report also showed minor changes in the average consumer price index during
the month of March 2007 compared to February 2007, as a result of the stability
of prices since the end of 2006.
According to first quarter results from the Amman Chamber of Industry, national
exports reached JD446.3 million. Arab countries accounted for 65 per cent or
JD278 million of the total.
On the trading floor of the Amman bourse, the average daily trading volume fell
by 60.3 per cent to JD51.1million. Overall, decliners outnumbered advancers as
60 companies out of 172 advanced, while 96 companies declined.
In the banking sector, Dubai Construction Company signed an agreement with
Jordan Kuwait Bank to finance buyers of residential and commercial units in its
two projects. The bank’s share price increased by 0.62 per cent week to close at
JD6.54/share.
According to preliminary results from the Insurance Commission, insurance
payments increased by 15 per cent at the end of February 2007 to JD50 million
compared to JD43.4 million during the same period in 2006. The increase was
concentrated in general insurance payments which amounted to JD44.7 million
compared to 2006, an increase of 14 per cent.
In the services sector, National Portfolio Securities Company announced a JD1.55
million income during the first quarter. The general assembly meeting approved
to buy or sell treasury shares with a maximum of 10 per cent of the capital.
Beit Al Mal for Saving & Invest. for Housing recommended to the general assembly
the distribution of JD800,000 as cash dividends which amounts to four per cent
of the company’s capital, as well as stock dividends at the rate of 43 per cent
of the capital amounting to JD8.6 million. The company’s share price increased
by 1.81 per cent to close at JD3.38/share.
In the industry sector, Jordan Steel Company boosted net income by 287 million
to JD2.26 million in its first quarter results, compared to JD584,000 for the
same period in 2006. Total sales exceeded JD15 million at the end of March 2007
compared to JD18 million for the same period in 2006. The company’s share price
increased by 2.67 per cent to close at JD3.85 /share.
Exports of Ad Dulayl Industrial Park reached $64 million in the first quarter
results in 2007.