MENA Daily Market Report 28 March 2013

Transcription

1 GCC MARKET INDICES GCC Markets Indices Close % DTD % YTD KSE Weighted Index % 4.2% KSE Price Index 6, % 14.2% Tadawul All Share Index 7, % 5.5% DFM Index 1, % 13.2% ADX Index 3, % 14.4% Bahrain All Share 1, % 1.9% QE Index 8, % 3.0% MSM30 Index 6, % 5.4% LEVANT & NORTH AFRICA MARKETS INDICES Close % DTD % YTD Egypt - EGX30 5, % -5.5% Egypt - EGX % -6.0% Jordan - Amman Fr Flt Index 2, % 6.5% Palestine - AlQuds Index % -0.5% Lebanon - BLOM Stk Index* 1, % 2.9% Morocco - CASA All Share index* 8, % -4.2% Tunisia - Tunisia Main Index* 4, % 3.9% *Traded from Monday till Friday ECONOMIC CALENDAR Date Nature of Release Country/ Region Period Actual Est. 27 Mar Pending Home Sales (MoM) US Feb -0.4% -0.3% 27 Mar GDP (QoQ) UK 4Q -0.3% -0.3% 27 Mar Import Price Index (MoM) Germany Feb 0.3% 0.2% 27 Mar Gfk Consumer Confidence Germany Apr Mar GDP (QoQ) France 4Q -0.3% -0.3% 28 Mar GDP (QoQ Annualized) US 4Q - 0.5% 28 Mar Nat wide House Prices(MoM) UK Mar - 0.2% 28 Mar Retail Sales (MoM) Germany Feb % 28 Mar Business Confidence Italy Mar Source: Bloomberg EARNINGS CALENDAR Date Company Country Period Est. EPS* 28 Mar Combined Group Contract. Kuwait Mar Gulf Petroleum Investment Kuwait Mar Yiaco Medical Co. Kuwait Mar Kuwait Remal Real Estate Kuwait Mar Tamdeen Real Estate Co. Kuwait Mar Injazzat Real Estate Co. Kuwait Mar Livestock Transport & Trd. Kuwait Mar Al-Mazaya Holding Kuwait Mar First Dubai Real Estate Dev. Kuwait MARKET COMMENTARY/NEWS COMMENTARY US markets pared initial losses to finish almost flat Wednesday on concerns about the capital controls to be implemented by Cyprus over its banks. European markets plunged mid-week due to a new political stalemate in Italy coupled with worries over Cyprus banks. Asian markets are trading lower Thursday amid pessimism in European markets. Inflation in the Qatari construction sector is expected to accelerate to 18%, led by escalating infrastructural investment during amid preparations for Soccer World Cup However, the country could mitigate such high inflation by encouraging local and foreign companies to work together, revamping procurement processes and undertaking only key infrastructure activities during the peak period. The value of the construction industry is projected to almost double to USD15bn per annum in real terms by NEWS Kuwait s 10-month budget surplus at USD60.5bn Kuwait s 10-month budget surplus stood at USD60.5bn for the first 10 months (ending January) of fiscal year 2013, driven by strong oil income and lower government spending. Kuwait's Abyaar Swings to KWD11.84mn FY Loss Kuwait's Abyaar Real Estate Development Co. said it has swung to a full-year loss of KWD11.84mn (USD41.48mn) in 2012 from a net profit of KWD257,000 in the previous year. Kuwait's Agility sees USD80mn revenue from Iraq contract Kuwaiti logistics firm Agility said it would book close to USD80mn in revenues from a three-year contract which it won for work at the Majnoon oil field in Basra, Iraq. Saudi Electricity Co. launches USD2bn sukuk Saudi Electricity Co. launched a USD2bn, dual-tranche sukuk a 10-year, USD1bn issue 155 basis points (bps) above US Treasuries and a 30-year, USD1bn bond with a spread of 190 bps. Emirates NBD prices USD750mn subordinated bond Emirates NBD priced a USD750mn, 10-year subordinated bond at 4.875%. The bond, which received orders worth USD2.8bn, can be redeemed after five years. Abu Dhabi Islamic Bank provides financing to Manazel Real Estate Abu Dhabi Islamic Bank is extending a AED600mn financing facility to Manazel Real Estate to fund its financial obligations and capital expenditure. Dubai Silicon Oasis posts 2012 results Dubai Silicon Oasis net profit increased 26% YoY to AED165.4mn in Operating revenue rose 5% YoY to AED 159mn during the same period. UAE foreign currency assets increase in December 2012 The UAE s foreign currency assets grew 1.6% MoM to AED205.2bn in December Widam Food Company announces 2012 results Qatar-based Widam Food Company s net profit increased 29.3% YoY to QAR75mn in The Board of Directors recommended distribution of 40% cash dividend. Qatar National Cement Company approves distribution of cash dividend Qatar National Cement Company approved the Board of Directors proposal to distribute a cash dividend of 60% at its Ordinary General Assembly Meeting. * Consensus estimates in local currency Source: Bloomberg 1

2 Interior Hotels Company approves distribution of cash dividend Oman-based Interior Hotels Company approved the Board of Directors proposal to distribute a cash dividend of 10% at its Annual General Meeting. Oman enters oil and gas deal with PetroTel Oman has signed an oil and gas exploration and production sharing agreement with PetroTel, under which the latter will explore for oil and natural gas in Blocks 39 and 67 in Dhofar. International Investment Bank reports 2012 results Bahrain-based International Investment Bank posted a net profit of USD8.2mn in 2012 compared with a net loss of USD9.4mn in Total income surged 358.1% YoY to USD14.2mn during the same period. Egypt to pay further USD1bn towards oil debts Egypt s oil ministry will pay another USD1bn of the money it owes to foreign energy firms within two weeks, Oil Minister Osama Kamal was quoted as saying in local financial daily Al-Mal. 2

3 INTERNATIONAL INDICES US Indices Close % DTD % YTD P/E(x) DJ Average 14, % 10.9% 14.9 NASDAQ Composite 3, % 7.8% 13.0 S&P500 Comp. 1, % 9.6% 16.5 European Indices FTSE UK 6, % 8.3% 12.6 Extra DAX - Germany 7, % 2.3% 12.5 CAC 40 - France 3, % 1.9% 14.2 Asian Indices Bombay SE SENSEX -India 18, % -3.7% 15.5 SSE Composite China 2, % 1.4% 11.5 NIKKEI 225 INDEX- Japan 12, % 20.2% 20.7 Hang Seng - Hong Kong 22, % -0.8% 11.0 COMMODITY PRICE MOVEMENTS Commodities Market Close % DTD % QTD % YTD Gold ($/Oz) 1, % -4.2% -4.2% Silver ($/Oz) % -5.5% -5.5% WTI Crude ($/bbl) % 5.2% 5.2% Nat Gas 1M Fut. ($/MMBTU) % 21.6% 21.6% CRB Spot Index % -0.3% -0.3% OPEC Grade Crude Oil ($/bl) % -2.0% -2.0% Copper ($/MT) 7, % -4.2% -4.2% Zinc ($/MT) 1, % -8.4% -8.4% Aluminium ($/MT) 1, % -7.6% -7.6%, Bloomberg INTEREST RATE WATCH Interest Rates (%) 1M 3M 6M 12M LIBOR (USD) Europe (EURIBOR) KSA (SAIBOR) UAE (EIBOR) KUWAIT (KIBOR) EGYPT (CAIBOR) INTERNATIONAL NEWS US pending home sales decline from near three-year high Pending home sales in the US decreased modestly in February, with the related index moving down 0.4% to 104.8, after surging 3.8% to in January. The market predicted the index to decline 0.7%. Eurozone s economic confidence declines Economic confidence in the Eurozone deteriorated in March, with the related sentiment index coming in at 90 vis-à-vis 91.1 in February. The market forecasted a reading of Eurozone s leading index rises in February Eurozone's leading economic index edged up to in February from in January. However, the coincident economic index declined to from during the same period. UK s GDP contraction confirmed at 0.3% QoQ UK s GDP contracted 0.3% QoQ in 4Q 2012, unrevised from the previous estimate and following a 0.9% QoQ decline in 3Q UK banks face capital shortfall of GBP25bn According to Bank of England s latest report, banks in the UK will need to raise nearly GBP25bn by the end of 2013 to absorb possible losses from exposure to high-risk loan portfolios. Germany s consumer sentiment expected to remain unchanged in April Consumer sentiment in Germany is expected to be steady in April, with the Gfk consumer confidence index remaining unchanged from 5.9 in March. France s economic contraction in line with expectations France s economy contracted 0.3% QoQ in 4Q 2012, in line with the initial estimate. This follows a 0.2% QoQ expansion in 3Q Italy s retail sales continue to decline Retail sales in Italy fell for the seventh straight month in January. The sales were down 3% YoY, after falling 3.4% YoY in February, in line with market forecasts. Spain s retail sales fall sharply; inflation eases Retail sales in Spain declined 10.6% YoY in February vis-à-vis the market expectation of 10.0% YoY. Meanwhile, consumer price inflation eased to 2.6% in March from 2.9% in February, below the market estimate of 2.7% YoY. Australia s private sector credit rises in February Total private sector credit in Australia rose 0.2% MoM in February, remaining unchanged from the previous month but below the market forecast of 0.3% MoM. Japan s retail sales decline Retail sales in Japan fell 2.3% YoY to JPY10.53tr in February. The market had predicted a 1.8% MoM decline. COMMODITIES NEWS Crude oil gains on positive economic data US crude oil gained for the fourth consecutive day on some upbeat economic data globally, which indicated improved growth prospects, despite a rise in stockpiles. Light Sweet Crude Oil futures for delivery in May rose USD0.24 to USD96.58/barrel on the NYMEX. Gold ends higher on resurfacing concerns over Eurozone crisis Gold futures gained on concerns over Italy s political deadlock and Cyprus financial situation. Gold futures for delivery in June rose USD9.90, or 0.6%, to USD1, an ounce on the NYMEX. 3

4 MENA MARKETS ACTIVE STOCKS Company Close* % DTD % YTD 52 wk High* 52 wk Low* P/E (x) P/B (x) Value Traded (USDmn) M.CAP (USDbn) Kuwait Agility Public Warehousing KSCC % 15.7% Gulf Finance House BSC % 39.1% Investors Holding Group Co KSCC % 40.6% NA Abyaar Real Estate Development % 23.7% NA Gulf Investment House KSCC % 41.2% NA Saudi Arabia Saudi Basic Industries Corporation % 8.6% Saudi Indian Co. for Coop. Ins % 94.6% NA National Medical Care Co JSC % -39.1% NA NA Alinma Bank % 2.7% Food Products Co % 45.8% UAE Emaar Properties PJSC % 35.2% Gulf Finance House BSC % 27.7% First Gulf Bank PJSC % 18.5% Sorouh Real Estate Co PJSC % 34.4% Aldar Properties PJSC % 6.3% Qatar Qatar National Bank SAQ % 2.4% Widam Food Co QSC % 12.9% Gulf International Services QSC % 18.5% Industries Qatar QSC % 12.6% Mazaya Qatar Real Estate Dev % -2.7% Oman Dhofar Insurance Co SAOG % 29.9% Renaissance Services SAOG % 7.6% NA Oman Investment and Finance Co % 29.4% Bank Muscat SAOG % 6.8% Gulf Investment Services Holding % 44.1% Bahrain Esterad Investment Co BSC % 1.6% NA National Bank of Bahrain BSC % 4.8% Aluminium Bahrain BSC % 0.0% Khaleeji Commercial Bank BSC % -16.7% Bahrain Islamic Bank BSC % 6.1% NA Egypt Commercial Intl Bank Egypt SAE % -11.3% Orascom Construction Industries % -4.8% Orascom Telecom Holding SAE % 7.8% Orascom TMT Holding SAE % 30.9% NA NA Palm Hills Developments Co % -16.4% Jordan Union Investment Corp PLC % 127.3% NA Al Tajamouat for Catering & Hsg % 134.9% Ad Dulayl Ind. Park & Real Estate % 139.0% Union Land Development Corp % 73.4% Dimensions J&E Commercial Inv % 83.5% NA , Tickerchart.com, Bloomberg *in local currency unless specified, Price data for Kuwait and Bahrain stocks is in fils and for Oman stocks in Baizas 4

5 Global Investment House Website: Global Tower Sharq, Al-Shuhada Str. Tel. + (965) Fax. + (965) P.O. Box: Safat, Kuwait Research Faisal Hasan, CFA (965) fhasan@global.com.kw Wealth Management Rasha Al-Qenaei (965) alqenaei@global.com.kw Brokerage Fouad Fahmi Darwish (965) fdarwish@global.com.kw Global Kuwait Tel: (965) Fax: (965) P.O.Box Safat, Kuwait Global Bahrain Tel: (973) Fax: (973) P.O.Box 855 Manama, Bahrain Global UAE Tel: (971) Fax: (971) P.O.Box Dubai, UAE Global Egypt Tel: (202) Fax: (202) Cleopatra St., Heliopolis, Cairo Global Saudi Arabia Tel: (966) Fax: (966) P.O. Box Riyadh 11586, Kingdom of Saudi Arabia Global Jordan Tel: (962) Fax: (962) P.O.Box 3268 Amman 11180, Jordan Global Wealth Manager contactus@global.com.kw Tel: (965) Disclaimer This document and its contents are prepared for your personal use for information purposes only and is not an offer, or the solicitation of an offer, to buy or sell a security or enter into any other agreement. Projections of potential risk or return are illustrative, and should not be taken as limitations of the maximum possible loss or gain. The information and any views expressed are given as at the date of writing and subject to change. While the information has been obtained from sourc es believed to be reliable we do not represent that it is accurate or complete and it should not be relied on as such. Global Investment House, its affiliates and subsidiaries can accept no liability for any direct or consequential loss arising from use of this document or its contents. At any time, Global Investment House or its em ployees may have a position, subject to change, in any securities or instruments referred to, or provide services to the issuer of those securities or instruments. 5