Resignation and Designation

In spite of the excitement that Jordan has witnessed on both the political and economic fronts during the week, the Amman Stock Exchange (ASE) failed to thrill investors as volumes thinned and prices swayed. While dignitaries from the US, Iraq and Jordan met at the American Jordanian Expo to discuss ways of boosting trade, Prime Minister, Ali Abul Ragheb, submitted his resignation on Wednesday, paving the way for premier-designate Faisal Fayez to form a new government.

The fanfare that surrounded smaller and troubled banks the past month was muted as market participants decided to focus their attention elsewhere. Philadelphia Investment Bank (PHIB) shed 36% as it disclosed that no material changes had happened at the firm to warrant the sudden upsurge in its stock price. Jordan Gulf Bank (JOGB), which was met with huge demand at the beginning of the week, struggled to keep its position as bids were abruptly changed into sell orders. JOGB closed at 0.20, up only 5%. Similarly, Bank of Jordan (BOJX) climbed 3% to JD3.05 as its chairman announced that paid-up capital will be raised to JD40 million next year.

Arab Potash (APOT) was watched very closely as it got re-listed on Sunday after a three-month cessation period which was due to the company's partial privatization. Despite the premium paid for the government's stake in the mining monopoly, APOT's stock, however, retracted 2% to JD4.90. Jordan Phosphate Mines (JOPH) tagged along, reaching JD2.23 before it closed at JD2.11, unchanged for the week.

Advanced Pharmaceutical Manufacturing (ADPH) was among the week's biggest advancers with its 11% hike to JD1.79. The company's managing director had announced that ADPH obtained a certificate of good manufacturing practices (GMP) from Sweden, thus enabling it to begin exporting its product to Europe.

Meanwhile Jordan Steel (JOST) had almost 0.6 million shares change hands as it advanced 4% to JD3.46. The company posted JD3.9 million in earnings before taxes for the first three quarters of this year.

Note that Jordan will turn the clocks back to winter time this Friday and the Holy month of Ramadan is expected to begin either on Sunday or Monday of next week.