The panic came Global financial markets Of the Corona virus along with reports indicating a slowdown in global economic growth in the first quarter of 2020.
Kuwait Stock Exchange lost about $ 5 billion in a week described as the black week, as it is the biggest loss in more than 17 years, and the market value of the Stock Exchange reached at the end of yesterday’s session (Thursday) 33.520 billion dinars, down from 35.156 billion dinars in the last week of February Last February.
Although the market rushed to decline, especially in the last Sunday session which was called “Black Sunday” due to the heavy losses, the market held together for the next two sessions and achieved great gains at the level of indicators, as well as variables with gains that exceeded two billion dinars, but in the last two sessions the markets returned to decline On the impact of a reduction in interest rates on the local currencies of a number of Gulf countries as a result of the American Fed’s reduced interest on the dollar.
And the cash liquidity witnessed a noticeable increase in the impact of trading operations for many of the leading stocks, which drifted due to excessive selling, and the value reached 228 million dinars, with a daily average of 45 million dinars, a high rate that the market has not seen in a while.
It is expected that the market will recover during the coming period with the calmness of the global market declines, taking advantage of the positive local ingredients, which are reflected in the growth of cash dividends on the one hand, and the near attraction of foreign cash flows on the other hand with the approaching next May.
The stock indexes ended the week’s trading on a collective retreat, as follows:
– The first market index fell 5%, losing 340 points, to 6,390 points, from 6,730 points, at the end of the last week of February.
– The main market index decreased 3.6%, achieving 174 losses, to 4,595 points, down from 4,769 points.
– The general market index fell 4.7%, losing 284 points, to 5,788 points, down from 6,072 points.