Stock News: Kuwait Makes Biggest One-Day Gain In Over Four Years

Kuwait halts two sessions of losses to make its largest one-day gain in more than four years as retail traders buy into small-caps.

The index climbs 2.1 per cent to finish at 8,322 points, a fresh four-year high and it’s biggest daily climb since April 2009.

Small-cap stocks dominate trade, a sign of heavy retail activity. A sharp early-year rally backed by hopes that a calmer political backdrop will help economic recovery in the oil-exporting Gulf state, shows renewed retail trader interest in a market that slumped to an eight-year low in 2012.

Market profits are being invested back into the equities, with improving company earnings supporting. Investor expect the government to finally move ahead with delayed infrastructure projects, which were part of a KD30 billion ($108 billion) economic development plan announced in late 2010.

Gulf Finance House jumps 9.6 per cent, the most active stock on the index. Mid-cap Ithmaar Bank trails, rising 1.4 per cent.

Elsewhere, Oman’s benchmark closes 0.2 per cent higher at 6,375 points.