Potholes - Atlas ASE Market Brief Jan 23, 2003

It was a bumpy ride this week as investors, excited by the disclosure of positive preliminary results by certain companies, raced to the Amman Stock Exchange (ASE). However, renewed fears regarding a possible war against Iraq dampened on the parade causing stocks to retreat. Subsequently, despite zealous trading, the AMI and ASMI indices shed 0.63% and 2.96%, respectively.

The banking sector did not follow any consistent pattern this week. The Arab Bank (ARBK) was steady, climbing 1% to JD192. The Jordan Gulf Bank (JOGB) grabbed plenty of attention as investors are waiting to see if it will able to extinguish last year's losses. More than 0.87 million JOGB shares changed hands as the stock rose 17% to JD0.42. Similarly, the Industrial Development Bank (INDV), which is expected to post exceptional results as it did last year, saw over 0.6 million of its shares trade. Despite that, the stock retracted 4% to JD1.06.

Jordan International Insurance (JIJC) is maintaining its upward trend, as the stock remains visibly active. JIJC rose all the way to JD1.26 before profit taking made sure that the stock was satisfied with a 4% rise as it closed at JD1.18.

United Arab Investors (UAIC) and Specialized Investment Compounds (SPIC) followed instep with other dynamic stocks. UAIC managed to hold on to its JD1.18 position, while SPIC was not so lucky, slipping 8% to JD0.72.

Middle east Complex for Eng Electronics and Heavy Industries (MECE) was at centre stage as over 2.4 million of its shares changed hands. The company had announced that it intends to build a new facility since, through one of its subsidiaries, it is now liasing with a Chinese home-electronics manufacturer. In addition it is discussing a possible US$19 million loan with the International Finance Corporation (IFC). Consequently, MECE advanced 14% to JD0.73.