Multi-Investment sector rises 5.46%

Updated 05 January 2013

Multi-Investment sector rises 5.46%

The Saudi stock market depicted a positive drive last week. Despite closing lower for two days during the week, the Tadawul All-Share Index (TASI) dug in at 6,940.31 and finished the week up over 73.6 points or 1.07 percent from its previous weekend close at 6,866.71 points.
The index touched an intra-week high of 6,941.21 and low of 6,772.19 levels, reflecting a trading range of 169 points last week.
Total market capitalization of Saudi stock exchange increased more than one percent to SR1.42 trillion as compared to previous week's SR 1.41 trillion.
Sector indices at Saudi stock market ended the week with modest gains, as 11 out of 15 sectors marched higher, accumulating an aggregate of 990.5 points in a week.
Multi-Investment outdid rest of the sectors, reflecting an increment of 191.8 points or 5.46 percent for the entire week to close at 3,703.26 Agriculture and Retail sectors followed it, advancing 2.52 percent and 2.43 percent respectively.
On the negative side, four sectors ended the week lower, trimming 220.6 points jointly. Insurance sector continued its downward fall for the third consecutive week, shedding 3.6 percent further to 1,347.7. Amanah Cooperative Insurance suffered the greatest amount of damages, turning down 25 percent for the week.
Advances outnumbered the decliners by a margin of 93 to 49 and the prices of 14 companies remained unchanged. Furthermore, upside-downside volume ratio of 3.6:1 remained largely positive.
Ash-Sharqiyah Development Company and Saudi Fisheries Co. made the biggest jumps among all Saudi equities, posting a weekly growth of 30.5 percent and 11.1 percent respectively.
Among heavyweights, Kingdom Holding continued to occupy the leading position for the third straight week, surging 7.1 percent further to SR 20.35.
Most of the major benchmark indices at GCC stock markets ended the week in green. DFM index remained at top, closing at 1,688.62 and finishing the week up over 4.4 percent.
The benchmark GulfBase GCC General Index closed the week higher at 3,982.75 points level, adding 66 points or 1.69 percent for the entire week.

Merkel seeks united front with China amid Trump trade fears

Updated 22 May 2018

Merkel seeks united front with China amid Trump trade fears

  • Merkel seeks common ground to ward off trade war
  • Plans complicated by US policy moves

Chancellor Angela Merkel visits China on Thursday, seeking to close ranks with the world’s biggest exporting nation as US President Donald Trump shakes up explosive issues from trade to Iran’s nuclear deal.

Finding a common strategy to ward off a trade war and keep markets open will be Merkel’s priority when she meets with President Xi Jinping, as Washington brandishes the threat of imposing punitive tariffs on aluminum and steel imports.

“Both countries are in agreement that open markets and rules-based world trade are necessary. That’s the main focus of this trip,” Merkel’s spokeswoman Martina Fietz said in Berlin on Friday.

But closing ranks with Beijing against Washington risks being complicated by Saturday’s deal between China and the US to hold off tit-for-tat trade measures.

China’s economic health can only benefit Germany as the Asian giant is a big buyer of Made in Germany. But a deal between the US and China effectively leaves Berlin as the main target of Trump’s campaign against foreign imports that he claims harm US national security.

The US leader had already singled Germany out for criticism, saying it had “taken advantage” of the US by spending less than Washington on NATO.

Underlining what is at stake, French Economy Minister Bruno Le Maire warned the US-China deal may come “at the expense of Europe if Europe is not capable of showing a firm hand.”

Nevertheless, Merkel can look to her carefully nurtured relationship with China over her 12 years as chancellor.

No Western leader has visited Beijing as often as Merkel, who will be undertaking her eleventh trip to the country.

In China, she is viewed not only as the main point of contact for Europe, but, crucially, also as a reliable interlocutor — an antithesis of the mercurial Trump.

Devoting her weekly podcast to her visit, Merkel stressed that Beijing and Berlin “are both committed to the rules of the WTO” (World Trade Organization) and want to “strengthen multilateralism.”

But she also underlined that she will press home Germany’s longstanding quest for reciprocity in market access as well as the respect of intellectual property.

Ahead of her visit, Beijing fired off a rare salvo of criticism.

China’s envoy to Germany, Shi Mingde, pointed to a “protectionist trend in Germany,” as he complained about toughened rules protecting German companies from foreign takeovers.

Only 0.3 percent of foreign investors in Germany stem from China while German firms have put in €80 billion in the Asian giant over the last three decades, he told Stuttgarter Nachrichten.

“Economic exchange cannot work as a one-way street,” he warned.

Meanwhile, looming over the battle on the trade front is another equally thorny issue — the historic Iran nuclear deal, which risks falling apart after Trump pulled the US out.

Tehran has demanded that Europe keeps the deal going by continuing economic cooperation, but the US has warned European firms of sanctions if they fail to pull out of Iran.

Merkel “hopes that China can help save the atomic deal that the US has unilaterally ditched,” said Die Welt daily.

“Because only the giant emerging economy can buy enough raw materials from Iran to give the Mullah regime an incentive to at least officially continue to not build a nuclear weapon.”