Banking Hour

Prices rose overall this week with market participants directing their attention to the banking sector, which dominated market activity. All in all, 23.3 million shares, valued at JD127.1 million were traded as both the AMI and ASE rose approximately 3.90%.

The banking sector regained investors' curiosity, as both Jordan National Bank (JONB) and Bank of Jordan (BOJX) jumped by 6% to end the week at JD3.52 and JD5.40, respectively. Arab Bank (ARBK), which contributed 47% of total trading volume managed to increase 5% to close at JD251. Industrial Development Bank (INDV) saw very active trading, as 3.4 million shares worth JD9.5 million shares traded boosting it 10% to reach the JD2.90 level.

Jordan International Insurance (JIJC) stirred up the insurance sector with the board of directors' decision to increase the company's capital by JD6,664,000 to JD12 million by distributing 50% as a stock dividend, while JD3,996,000 will be covered through a private placement.. The stock jumped by 14% to settle at JD4.39 with more than 240,000 shares exchanged.

Union Tobacco & Cigarettes Industries (UTOB) announced that they are finalizing the establishment of a US$5 million cigarettes plant at the free zone in Dubai. UTOB said that this step would be a start of an upward trend in the company's exports as well as profits. UTOB's stock rose by only 1% to close at JD7.17, while its competitor, International Tobacco & Cigarettes (ITCC), managed a rise of 4% to JD4.54. National Cable & Wire Manufacturing (WIRE), which is expected to post strong profits this year, decided to raise its capital by JD2.5 million to JD10 million. The stock, which has soared by 121% this year, ended today's session at JD2.90 up 2%.

Meanwhile, the Minister of Planning and International Corporation announced that preliminary figures show the economy growing by 7.4% in the first nine months of 2004 compared with 3% growth in the same period last year.