Springing Market - Atlas Market Brief Mar 21, 2002

Jordanian equities ended this trading session firmer with healthy volumes throughout the week as conviction of a cease fire in neighboring Palestine mounted. Moreover, with the US playing down any immediate military action against Iraq, investors rushed back into the market ahead of major general assembly meetings. The market weighted AMI closed 2% higher at 134.05, while the small cap ASMI closed up 2% at 161.77.

Most trading activity occurred towards the end of the week when a number of blue chips made smooth advances. The Arab Bank (ARBK) added JD3.40 on Thursday after a relatively stable weekly session. Similarly, Jordan Steel (JOST) hit JD2.10 ahead of its annual general assembly meeting next Thursday, when it is expected to approve a JD0.18 cash dividend for the previous year.

Exceptional activity on International Tobacco and Cigarettes (ITCC), which was one of last year's biggest advancers, also followed a week of relative calm. Only moments before the closing bell on Thursday, a massive buy order on the stock pushed it to JD3.25 to end the week 4% higher.

Speculation on Jordan Cement Factories (JOCM) fueled its 10% rise. Earlier this year, the government had announced its intent to sell its remaining holdings in the company to a Palestinian quasi-governmental investor. Apart from a bloc deal last year, the stock hasn't experienced such activity since the summer of 2000.