Reversal of Fortune - Atlas ASE Market Brief Aug 01, 2002

Brokers and investors alike were dismayed at the beginning of the week as the Amman Stock Exchange (ASE), instead of rebounding, as expected, plunged even further. Nevertheless, the market managed to turn around midweek. The 7.4 million shares traded, a low volume in comparison with the average, did not create enough pressure to suppress prices further. Consequently, the AMI and ASMI simultaneously retracted by more than 1% each.

Banking stocks were both active and volatile as many of them announced their mid-year results. Arab Bank (ARBK) oscillated between the JD200 and JD192 marks before settling at JD196.75. Jordan Islamic Bank (JOIB) rose 8% as it posted JD1.82 million in net profits for the first six months of the year. Export and Finance Bank (EXFB) faced some selling pressure but managed to hold onto the JD1.65 position. Industrial Development Bank (INDV) had 0.15 million of its shares change hands before ending the week at JD0.91.

The Jordan Petroleum Refinery (JOPT) saw a bizarre week post its general assembly on Saturday. The stock plummeted down 8% to JD14.85, as investors were skeptical about the major changes that took place on the board of directors as well as the replacement of its general manager. Controversy regarding board members that began with the elections at the assembly continued during the week and have not reached closure

Pharmaceutical companies saw an interesting week as both blue chips, Arab Pharmaceutical Manufacturing (APHA) and Dar Al Dawa (DADI) laid pressure on each other. APHA fell to JD3.87 as it announced a 1.5% increase in mid-year profits. DADI, on the other hand, barely nudged 1% as the company declared a net income of JD3.6 for the first half, an increase of 38% from last year's level.

Privatization candidates Jordan Phosphate Mines (JOPH) and Arab Potash (APOT) had a fairly active week, although both stocks retracted by 1%. JOPH ended the week at JD2.0 with 0.19 million shares traded, while APOT closed at JD4.31 with 58,870 shares changing hands.