Saudi Arabia will overtake India as the fastest growing major economy this year

RIYADH: Saudi Arabia’s Tadawul All Share Index extended last week’s cautious stance by closing unchanged, or 0.05 points higher, at 10,536.91 on Sunday with no marked change in the global economic situation.

Despite Friday’s US jobs reports recording a slight decline in growth in December, fueling speculation of a possible change in the US Federal Reserve’s aggressive stance, the market was not he was motivated enough to raise his bet.

“The Saudi benchmark was flat on the day after gains in most sector indices were fully offset by a decline in large-cap sectors such as banks and energy,” Junaid told Arab News. Ansari, head of investment strategy and research at Kamco Invest. .

All components except Riyad Bank, Bank Albilad and Amlak International Finance Co. fell in the bank index. Saudi British Bank and Saudi Investment Bank fell 1.66 percent and 1.22 percent to close at SR38.60 and SR17.78, respectively.

Similarly, the energy index witnessed heavyweights like Saudi Arabian Oil Co., Rabigh Refining and Petrochemical Co. take marginal hits to close at SR31.50 and SR10.94, respectively.

“The drop in the energy sector mirrored the first weekly drop in crude oil prices in four weeks last week,” Ansari said.

“Both energy and banks remain the worst performing sector this year with falls of 1.6 percent and 0.9 percent, respectively,” it added.

TASI’s total turnover fell 18.7 percent to about SR3 billion ($800 million) from SR3.69 billion on Thursday despite 134 stocks out of 223 listings rising and 69 falling.

The parallel market Nomu and the MSCI Tadawul 30 Index also fell 100 points and 0.31 points to close at 19,204.43 and 1,465.37, respectively.

“Trading activity during the day saw improvements from the previous session, but remained subdued compared to the average trading levels seen on the bourse,” Ansari said.

On Sunday, the stock market also had a slew of major corporate announcements that sent its share prices soaring.

Obeikan Glass Co. recommended a 33.3 percent capital increase to SR 20 million through a one-for-three bonus share distribution, to be funded in part from retained earnings, the company said in a statement. to Tadawul. Its share price gained 3.12 percent to SR86.

On Sunday, Arabian International Healthcare Holding Co., also known as Tibbiyah, informed the exchange that its wholly owned subsidiary, Al Faisaliah Medical Systems Co., signed a 52.74 million SR contract with National Unified Procurement Co. to supply medical orthopedics and spinal consumables to government institutions. Tibbiyah’s share price rose 3.67 percent to SR40.95.

Food production company Halwani Bros. Co. also announced that it had signed an amendment to the existing Sharia compliant banking facility deal worth SR 230.83 million with Al Rajhi Bank.

The value includes medium-term financing of SR20.83 million, which runs until the end of March 2024, and a line of SR210 million to finance working capital until July 2023. Halwani’s share price Bros. Co. was up 0.86 percent at 47 SR.

Meanwhile, Ladun Investment Co. signed an agreement to develop 260 residential units in Jazan for SR162 million, excluding value-added tax.

The company said that the project, which covers an area of ​​44,020 square meters, will be carried out in partnership with the private sector.

The infrastructure and buildings will be built by Al-Manjoof Contracting Co., based on the off-plan model. Ladun’s share price rose 0.38 percent to SR15.78.

On the retail front, Al-Saif Stores for Development and Investment Co., also known as Alsaif Gallery, announced its expansion into Kuwait, where two branches have been leased.

The first branch is expected to open in the first quarter of 2023 and the next one in the second quarter of 2023, according to a statement from Tadawul. Its share price closed higher at SR98.20.

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