Kuwaiti traders expect the second quarter results of the listed companies will give a push to the Kuwait Exchange (KSE).
They told the Kuwait News Agency (KUNA) on Sunday that the financial results, usually announced that time of the year, will help overcome the sluggish performance at the KSE where trading is suffering implications of the fasting month of Ramadan where anticipation is dominant, especially among small traders.
For those traders, the market has had enough decline in June and now it is time for reaping the fruits, through reducing losses and making profits via companies’ financial results. Banks are expected to announce results first, to be followed by leading firms, the latter expected to reveal good results, better than the responding period last year.
There are several companies that have seen good performance over the second quarter, trader Ali el-Enzi, said. For him the strategies adopted by the boards of these firms rely on operational performance, and not speculations.
He expects that results will be promising, despite the challenges the companies have faced, regarding both the technical side on the market, and the local and regional political scene.
Traders are in a state of anticipation of the company’s financial results hoping trading will rebound and restore previous performance, before the abolition of some technical incentives and the tightening measures over market major players, which forced many of them to flee to other Gulf markets, said trader Mohammed el-Shemmari.
A third trader, Hassan Gamal, told KUNA that the market has gone through a host of pitfalls during the second quarter that might leave negative effect on the financial results of the companies, especially small ones that are still facing the ghost of losses.
Gamal does not expect results of bigger companies to be satisfactory for many.
Source : KUNA Kuwait News agency
