The Tadawul All-Share Index (TASI) swung between gains and losses during the day's trading, ending down 0.01 percent at 6609.14 points, the lowest since Dec. 21. Banks, led by Samba Financial Group, Saudi Arabia's second-largest lender by market value, drove declining stocks, while petrochemicals led by Saudi Arabian Fertilizer Co. (SAFCO), a unit of Saudi Basic Industries Corp. (ASBIC), the world's largest petrochemicals maker, paced gaining shares. The 146-company gauge has climbed 8 percent this year.
The sector activity for the day was mostly positive with 11 out of 15 closing with gains ranging from 0.08 percent by the Media and Publishing sector to 1.27 percent by the Multi-Investment sector. On the other hand the losing sectors ranged from 0.09 percent by the Cement sector to 0.42 percent by the Banks & Financial Services sector. The overall market breadth for the day was positive with 65 advancers against 52 decliners giving it an AD ratio of 1.25, the Financial Transaction House (FTH) said in its daily market commentary.
The stock market turnover reached SR2.94 billion on Saturday.
"The market is flat on extended holidays and light trading in international markets until the new year," Asim Bukhtiar, an equity analyst at Riyad Capital, said in Riyadh. "Holiday shopping has encouraged an optimistic outlook for 2011."
European and US stocks rose for a fourth week. The Stoxx Europe 600 Index climbed 1.6 percent, extending this year's rally to 11 percent. The S&P 500 rose 1 percent, topping its close of 1,251.70 on Sept. 12, 2008, the last trading session before Lehman Brothers Holdings Inc. filed the world's biggest bankruptcy.
Brent crude oil for February settlement gained 2.3 percent this past week and 20 percent this year, settling at $93.77 a barrel on the London-based ICE Futures Europe exchange on Friday. Saudi Arabia holds one-fifth of the world's proven oil reserves.
Samba declined 0.83 percent, the most since Dec. 20, to SR59.50. Riyad Bank, the Kingdom's third-largest lender, lost 1.12 percent to SR26.4. SABIC retreated 0.24 percent, the most since Dec. 22, to SR105.25. SAFCO rose 1.6 percent to SR160.25, the highest since Oct. 15, 2008. Etihad Etisalat Co., Saudi Arabia's second-largest telecommunications operator, known as Mobily, gained 0.9 percent to SR55.
Saudi Telecom Co. (STC) shares fell 0.46 percent to SR43.40 on Saturday.
"Investors are gearing up for the new year and fourth-quarter results," said Fuad Aghabi, investment director at Ajeej Capital in Riyadh.
Saudi Arabia's index is the only Gulf Arab index tracked by Bloomberg that trades on Saturday.
- With input from agencies
