Bond & Bound

Investors at the Amman Stock Exchange (ASE) regained their confidence, partly due to the political situation in Iraq, which is now taking shape after the formation of the new government. All in all, 63 companies advanced versus only 39 decliners. Approximately 22.8 million shares, worth JD45.million, changed hands during the week with the AMI decreasing 1.23%, while the ASMI advanced by 1.82%.

On the services front, Jordan Press & Publishing (JOPP), which hiked 11%, saw only 0.06 million shares exchanged before it settled at JD5.60, while Zarka Educational & Investment (ZEIC) retracted to JD3.00, decreasing by 9%. Jerusalem Insurance (JERY) followed suite and declined by 7% to JD2.20 amongst thin volumes. Al-Belad Medical Services (ABMS) gained some ground as the company announced that it was able to double its net profit in the first quarter of the year 2004 to total JD0.562 million. The stock settled at JD1.33.

Union Bank for Savings & Investment (UBSI) and Industrial Development Bank (INDV) were among the banking sector's most active stocks. UBSI advanced 11% to JD3.63 with approximately 0.4 million shares changing hands, while INDV saw 1.3 million of its shares exchanged pushing the stock up to JD1.76.

Meanwhile, the manufacturing sector remained at the forefront this week. National Aluminum Industrial (NATA) was met with high demand which caused the stock to climb all the way to JD2.15. International Silica Industries (SLCA), which had its 316,815 new shares listed at the ASE, fell back to JD1.08, a decrease of 9%. Union Advanced Industries (UADI), on the other hand, managed to rise 14% to JD3.38.

Middle East Complex (MECE) announced that it signed a US$20 bond issue agreement with Atlas Investment Group, the Investment Banking arm of the Arab Bank on 30th May 2004 in order to minimize MECE's cost of debts. The issue will be the first fixed coupon US$ traded at the Amman Stock Exchange. High demand lead the stock to improve to the level of JD1.65 with more than 1.7 million shares traded.