The Tadawul All-Share Index (TASI) gained 1.27 percent on
weekly basis to cross the 6,400-point psychological barrier and close at
6,434.90 points.
On a week-to-week basis, the sector activity was
positively biased with 12 out of 15 sectors closing with gains ranging from
0.11 percent by the Real Estate Development sector to 2.72 percent by
Petrochemical Industries sector. On the other hand the losing sectors for the
week were Cement with 0.12 percent loss and Hotel & Tourism and Industrial
Investment sector with 0.18 percent loss, the Financial Transaction House (FTH)
said in its weekly market commentary.
The week consisted of only 4 trading sessions on account
of National Day holiday for Tadawul on Wednesday.
"It is quite clear that the Saudi market is still
sluggish due to liquidity shortage and lack of professionalism in administering
dangers," said Abdullah Baeshen, board chairman of the Riyadh-based
TeamOne Consulting.
He said that banks in Saudi Arabia and other Arab
countries still had reservations on lending "despite strong fundamentals"
enjoyed by Saudi Arabia, the world's largest exporter of oil.
Saudi Industrial Investment Group was the top gainer last
week as its shares surged 7.12 percent to SR18.80.
Ash-Sharqiyah Development Co. shares gained 6.25 percent
to SR37.40.
The top losers for the week on the other hand were Saudi
Hollandi Bank with a loss of 4.24 percent to close at SR33.90 and Qassim Cement
Co. losing 2.99 percent to close at SR65.00.
Saudi Basic Industries Corp. (SABIC) shares rose by 1.69
percent last week to reach SR90.
In the banking sectors, shares in Al-Rajhi bank surged by
1.94 percent, Samba Financial Group by 1.98 percent and Alinma Bank by 3.24
percent.
In the telecom sector, shares in Saudi Telecom Co. (STC)
dropped 1.25 percent to SR39.50 but Etihad Etisalat (Mobily) shares surged 2.80
percent to SR55 last week.
Over SR9.39 billion worth of Saudi shares changed hands
last week, the FTH report said.
Arab stock markets scored fresh gains last week, buoyed
by reports that the US economy was recovering, albeit at a slow pace, and by
stable demand for oil that kept crude prices around $75 a barrel over the past
couple of weeks, financial analysts said Friday.
They pointed out that the nearing closure of the third
quarter would also give impetus to markets mainly through window dressing moves
that seek to improve the quarterly performance of financial services firms.
"Despite profit-taking moves, Arab markets responded
positively to reports that the US economy had surpassed recession in June 2009
and that it was well on its way to recovery," Nizar Taher, head of
brokerage at the Jordan Ahli Bank, told Arab News.
"I believe investors will be awaiting the third
quarter results in the coming weeks, though the major factor affecting the
direction of regional markets will be the restoration of confidence and getting
rid of fears," he said.
Taher said that the liquidity crunch and hesitation on
the part of investment funds would remain an obstacle that impedes advancement
of regional bourses.
Jordanian shares were the major loser last week due to
what Taher described as concerns on the part of investors who echoed what was
taking place at regional and world markets.
However, Taher said that hopes were picking up due to a
recent decision by the Jordanian government to set up an ad hoc committee for
proposing steps to prop up the beleaguered Amman Stock Exchange (ASE).
The ASE all-share index shed 0.64 percent last week,
closing at 2.309 points, according to the market's weekly report.
The Kuwaiti stock exchange was the scene for profit-taking
moves last week ahead of the third quarter results.
Kuwait's all-share index edged higher, closing at 6,840
points compared with previous week's close at 6,757 points.
United Arab Emirates stocks scored fresh gains last week
after reports that Dubai World had reached agreement with it creditors to
reschedule about $25 billion of its debts.
The declaration by Nakheel, a real-estate subsidiary of
Dubai World, that it was heading to complete its debt restructuring by issuing
Islamic bonds, is expected to push up prices at the stock exchanges of Dubai
and Abu Dhabi this week, analysts said.
The Dubai benchmark climbed 2.5 percent, closing at 1,689
points, while the Abu Dhabi index gained 1.25 percent on weekly basis, to close
at 2,639 points.
Egypt's AGX30 index, measuring the performance of the
market's 30 most active stocks, went up 2.9 percent last week, to close at
6,720 points.
The GulfBase GCC Index edged higher by 0.90 percent to
3,904.82 points last week. The value of GCC traded shares surged by 92.50
percent to $4.40 billion and volume rose by 69.91 percent to 3.41 billion of
shares.
