Saudi Arabia’s main stock index rose above the 8,000-point level on Monday for the first time in nearly five years. The Tadawul All-Share Index advanced 1.3 percent to 8,072 points, its highest finish since September 2008.

It recorded gains in five of the last six trading sessions.

The Kingdom’s bourse will close beginning Tuesday for the Eid holidays. Trading resumes Aug. 13. Economists say that investors’ willingness to hold stocks over the holidays is a bullish signal.

Fadal Abu Ainain, a financial adviser for private companies, said: “The Kingdom is witnessing advanced development projects that have a big impact on the local market. Saudi Arabia also has economic stability supported by Custodian of the Two Holy Mosques King Abdullah."

The king launched a number of development projects worth SR327 billion for Royal Commission for Jubail and Yanbu, the Saudi Aramco and the Saudi Arabian Basic Industries and other private companies in the Jubail and Yanbu industrial cities Thursday. The projects contributed to reviving the national market.

“The recent buying is positioning ahead of a post-Eid rally,” said Amer Khan, fund manager at Shuaa Asset Management. “From a fundamental perspective, quarterly earnings were either in line or better than expectations, underlining the strength in the Saudi economy,” Khan said.

He added that the country’s economic fundamentals justify the increase in share prices although some sectors such as those driven by local consumption are now trading at a premium to regional valuations.