Terminating the Third

With the spotlight directed towards Iraq, as the Coalition Provisional Authority (CPA) handed over power to the new Iraqi government, investors at the Amman Stock Exchange (ASE) exuded confidence, trading a total of 26.72 million shares valued at JD57.8 million. As a result, the AMI and ASMI advanced by 0.36% and 3.79%, respectively.

The banking sector remained at the forefront with many of its stocks on the most active list. Bank of Jordan (BOJX) gained some ground as it climbed 5% to JD4.08. On the other hand, market participants focused their attention on the Philadelphia Investment Bank (PHIB)'s fraud case, as a local daily announced that PHIB was able to recoup JD77 million out of the JD100 million embezzled last year. Moreover PHIB declared that its management is striving to turn around the bank's performance, with strong indication that they are seeking partnerships with strategic investors. The 0.3 million shares exchanged were enough to push the stock up 23% to JD0.54. Despite a long absence, Jordan Gulf Bank (JOGB) was the week's biggest advancer as it reached JD1.45 before settling at JD1.37.

Jordan Investment & Tourism Transport (ALFA) retracted 9% to JD0.58 while Jordan Express Tourist Transport (JETT) continued its rise as it closed at JD1.20, up 25%. Despite thin trading, Zara Investment (ZARA) was able to register a rise of 16% to JD1.04.

In the meantime, Jordan Industrial Resources (JOIR), which will raise its capital by JD2 million through a private placement, budged 2% to JD1.01.

On the other hand, the ASE announced that as of today, 1 July 2004, new listing regulations took effect, which saw the dissolution of the third market. Consequently, 84 companies have been categorized as first market, while the remaining 104 companies will be listed on the second market. The third market used to contain 25 companies, 24 of which have been transferred to the second market while Al-Belad Medical Services (ABMS) now falls under the first market.