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http://uk.news.yahoo.com/18/20081023/twl-kuwait-traders-walk-out-as-gulf-stoc-4bdc673.html
Kuwait traders walk out as Gulf stocks slide
Dozens of traders walked off the trading floor at the Kuwait Stock Exchange on Thursday and staged a demonstration to urge more government support for the financial sector amid fears of global recession.
The protest, the first of its kind since 2006, came ahead of a lower close on most markets in the Gulf region amid anxiety about the world financial crisis and as crude oil prices remained at less than half their 2008 peak.
The main index on the Kuwait exchange, the second largest stock market in the Arab world, finished down three percent at 10,481.10 points, with several companies trading even below their nominal value.
All eight sectors in the market dropped, with the investment and banking sectors diving by 2.6 percent and 2.9 percent, respectively.
Nasser al-Khorafi, chairman of Al-Khorafi Group, the largest in Kuwait, called on the government to rescue the market.
"The government should swiftly intervene to rescue the bourse otherwise there will be a catastrophe," Khorafi told reporters.
"The government should pump funds into the bourse because its fall will affect other sectors like industry, real estate and so on and will have serious social implications," he said.
Market leader Zain Telecom shed 6.6 percent after issuing nine-month profits which showed a meagre increase of just 0.04 percent to 877.5 million dollars.
KSE Index finished the week down 9.2 percent at its lowest level in more than 18 months.
MPs and political groups urged the government to intervene to save Kuwait's hundreds of thousands of small investors.
The Islamic Salafi Alliance, one of the largest groups in parliament, called on the government to form an emergency team to handle the financial crisis. It also wants cash to be pumped into the bourse.
"I have lost almost 80 percent of my savings of 24,000 dinars (90,000 dollars) in the past two weeks alone. The government intervention has so far been without effect," Hamed al-Barrak, an investor, told AFP.
The traders' walkout came the day before the Organisation of Petroleum Exporting Countries meets to discuss calls for a production cut to shore up crude prices following their plunge from record highs of almost 150 dollars a barrel just three months ago.
Other markets in the oil-rich Gulf showed renewed falls on Thursday, with the exception of Dubai Financial Market, which ended higher.
The DMF Index finished up 1.5 percent at 3,256.98 points after sinking 3.7 percent in initial trading. The market ended the week up 1.6 percent.
Market leader, property giant Emaar, which dived 5.4 percent early on, was 4.5 percent higher at the close.
The Abu Dhabi Securities Exchange dropped 2.2 percent to 3,517.07 points as the key real estate sector shed 5.8 percent, though the industrials sector lifted the market slightly, gaining 0.62 percent. The market ended the week 4.4 percent higher.
The Doha Securities Market closed down 4.4 percent at 7,567.65 points with all sectors losing ground. It shed three percent in the week.
The small Muscat Securities Market ended the day down 2.4 percent and Bahrain Stock Exchange drifted 0.8 percent.
Oil prices recovered fractionally on Thursday but remained in the doldrums.
New York's benchmark contract, light sweet crude for December delivery, rose 54 cents to 67.29 dollars a barrel.
Brent North Sea crude for December delivery was 40 cents higher at 64.92 dollars.
The Saudi market, the largest Arab bourse, was closed on Thursday for the weekend after ending the week down more than 10 percent.
Kuwait traders walk out as Gulf stocks slide
Dozens of traders walked off the trading floor at the Kuwait Stock Exchange on Thursday and staged a demonstration to urge more government support for the financial sector amid fears of global recession.
The protest, the first of its kind since 2006, came ahead of a lower close on most markets in the Gulf region amid anxiety about the world financial crisis and as crude oil prices remained at less than half their 2008 peak.
The main index on the Kuwait exchange, the second largest stock market in the Arab world, finished down three percent at 10,481.10 points, with several companies trading even below their nominal value.
All eight sectors in the market dropped, with the investment and banking sectors diving by 2.6 percent and 2.9 percent, respectively.
Nasser al-Khorafi, chairman of Al-Khorafi Group, the largest in Kuwait, called on the government to rescue the market.
"The government should swiftly intervene to rescue the bourse otherwise there will be a catastrophe," Khorafi told reporters.
"The government should pump funds into the bourse because its fall will affect other sectors like industry, real estate and so on and will have serious social implications," he said.
Market leader Zain Telecom shed 6.6 percent after issuing nine-month profits which showed a meagre increase of just 0.04 percent to 877.5 million dollars.
KSE Index finished the week down 9.2 percent at its lowest level in more than 18 months.
MPs and political groups urged the government to intervene to save Kuwait's hundreds of thousands of small investors.
The Islamic Salafi Alliance, one of the largest groups in parliament, called on the government to form an emergency team to handle the financial crisis. It also wants cash to be pumped into the bourse.
"I have lost almost 80 percent of my savings of 24,000 dinars (90,000 dollars) in the past two weeks alone. The government intervention has so far been without effect," Hamed al-Barrak, an investor, told AFP.
The traders' walkout came the day before the Organisation of Petroleum Exporting Countries meets to discuss calls for a production cut to shore up crude prices following their plunge from record highs of almost 150 dollars a barrel just three months ago.
Other markets in the oil-rich Gulf showed renewed falls on Thursday, with the exception of Dubai Financial Market, which ended higher.
The DMF Index finished up 1.5 percent at 3,256.98 points after sinking 3.7 percent in initial trading. The market ended the week up 1.6 percent.
Market leader, property giant Emaar, which dived 5.4 percent early on, was 4.5 percent higher at the close.
The Abu Dhabi Securities Exchange dropped 2.2 percent to 3,517.07 points as the key real estate sector shed 5.8 percent, though the industrials sector lifted the market slightly, gaining 0.62 percent. The market ended the week 4.4 percent higher.
The Doha Securities Market closed down 4.4 percent at 7,567.65 points with all sectors losing ground. It shed three percent in the week.
The small Muscat Securities Market ended the day down 2.4 percent and Bahrain Stock Exchange drifted 0.8 percent.
Oil prices recovered fractionally on Thursday but remained in the doldrums.
New York's benchmark contract, light sweet crude for December delivery, rose 54 cents to 67.29 dollars a barrel.
Brent North Sea crude for December delivery was 40 cents higher at 64.92 dollars.
The Saudi market, the largest Arab bourse, was closed on Thursday for the weekend after ending the week down more than 10 percent.
