The Saudi Stock Exchange gave up on gains recorded at the start of the session, to end trading today, Thursday, with a decline, posting its fourth weekly loss and its largest decline since October 2020, while the performance of the rest of the Gulf markets.
The Saudi stock market index fell 0.6%, closing two gains. Al-Rajhi Bank fell 0.4%, while oil giant Aramco fell 1.1%.
Hussein Al-Raqib, director of the Zad Consulting Center, said, in an interview with Al-Arabiya TV, that investors are convinced of the high valuations of the Saudi market, which have pushed the market to a natural correction, mainly because the correlation coefficient between the market and the trend of oil has been strong, and therefore in in line with the declines in oil prices.
He pointed out that the funds intervened in the market and raised the main stocks, including Al-Rajhi shares, without the small stocks.
The censor believes that it is necessary to let the market correct itself naturally, and said: “Withdrawals from stocks are not very effective in the oil markets, so I think prices will continue to rise to $ 90, and the Saudi market should be left and in in line with the movement of the oil markets “.
In a related context, the Abu Dhabi market index rose 0.7%, supported by an increase in Alpha Abu Dhabi Holding’s share of 2.4% and an increase in the share of the Emirates Telecommunications Group (Etisalat ) by 1%.
The Dubai Stock Exchange index grew 0.4%, supported by a 1% increase in Emaar Properties’ main stake and an increase in Dubai Islamic Bank’s share of 0.8%.
Turkey and the UAE signed investment deals worth billions of dollars on Wednesday, including investments in technology and energy, after the talks between President Recep Tayyip Erdogan and the Crown Prince of Abu Dhabi, Sheikh Mohammed bin Zayed Al Nahyan. Sheikh Mohammed’s visit to Ankara, the first in years, comes as the two countries try to mend relations and in the midst of a currency crisis in Turkey.
Outside the Gulf region, the Egyptian Stock Exchange’s main equity index rose 0.7% and Talaat Mustafa Holding Group’s stake increased 6.4%.
An Egyptian government statement, citing the Minister of Planning, said yesterday Wednesday that the Egyptian economy grew 9.8% in the first quarter of fiscal year 2021-2022, which started in July, compared to 0.7. % in the same period last year.
In detail, the Saudi market index closed, in fall of 0.6%, to 11,299 points. While the Abu Dhabi index rose by 0.7%, to 8,454 points, and that of Dubai by 0.4%, to 3,170 points.
The Qatar Stock Exchange Index stood at 11,791 points and the Egyptian Stock Exchange Index increased by 0.7%, to 11,431 points, while the Bahrain Stock Exchange Index fell by 0.7%, to 1779. points.
In Oman, the Muscat Stock Exchange Index rose 0.3% to 4,118 points and the Kuwait Stock Exchange Index fell 0.2% to 7,720 points.
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