Wait is Over

Investors braced themselves ahead of the UN Security Council meeting on Monday, 17 March 2003, to vote on a new resolution to forcefully disarm Iraq. However, the United Kingdom (UK) chose to surprise everyone as it pulled the proposal from the table merely a few hours ahead of the deadline. The Amman Stock Exchange (ASE) rallied later on as the sirens of certainty of another Gulf War began to sound. Overall, almost 5 million shares, worth JD8.8 million, traded as the ASMI climbed more than 5%.

The Arab Bank (ARBK) began to move again, closing up 2% at JD186. Bank of Jordan (BOJX) rose by 7% to JD2.02, ahead of its annual general assembly, as the board of directors proposed both a cash dividend of 6% and a 15.4% increase in capital through bonus shares. Similarly, the Industrial Development Bank (INDV) climbed 6% to JD1.14.

The services sector experienced limited gains that were mostly in the hands of a couple of companies. Unified for Organizing Land Transport (UNIF) witnessed an 11% hike seeing as the company has business with Iraq. Jordanian Electric Power Co. (JOEP), on the other hand, was content with advancing 5% to JD2.06.

Industrial companies benefited the most from investors' sudden renewed interest. Jordan Steel (JOST) and International Tobacco and Cigarette (ITCC) both heavy exporters to Iraq, climbed 6% to JD2.07 and JD3.38, respectively. Dar Al Dawa (DADI) advanced all the way to JD6 before it ended the week at JD5.90. The company announced that it too plans to distribute a JD0.25 cash dividend, in addition to raising the company's capital to JD20 million through a stock dividend.