DUBAI: Slumping banking and petrochemical stocks dragged the Saudi index to its biggest one-day fall in seven weeks, while Dubai rose after the emirate’s ruler said the worst of the financial crisis was over.
Saudi Basic Industries Corp. (SABIC) fell almost 9 percent as all sectors retreated, with losers outnumbering gainers by more than 10 to one. The sudden reversal in fortunes — the Saudi benchmark increased by 31 percent in the six weeks to yesterday — underlined the fragile confidence of investors who are still apprehensive from a savage decline in equities over the past 12 months.
The Tadawul All-Share Index (TASI) closed 216.28 points or 3.96 percent to 5,250.22.
The Dubai index climbed 1.9 percent to 1,745 points, a fresh three-month high. The Abu Dhabi benchmark climbed 0.6 percent to 2,695 points, its seventh straight gain and highest close since Dec. 17. The Omani index made its largest one-day gain since Jan. 27, surging 5.1 percent to 5,478 points. This was its highest finish since Jan. 5.
The Qatari index advanced for the sixth session in seven, rising 3.9 percent to 5,590 points, its highest finish since Jan. 15.
The Kuwait index rose 1.5 percent to close at 7,528 points, its 13th gain in 14 sessions.
The Bahraini index climbed 0.4 percent to 1,681 points, its sixth straight gain.
BMG index dips
The BMG Saudi Index, which comprises the top 30 active companies in Saudi Arabia based on their market capitalization after removing government ownership, reversed its trend, slumping in yesterday’s trading session by 4.9 percent to close at 246.99 points.
