Reports

2023-05-08

Daily Market Monitor 8-05-2023

Tadawul Review:  

Tadawul All Share Index (TASI) rose by by +138 points ‎‎(+1.2%) to close at 11,257 levels on Sunday. The onging ‎earning season, strong oil prices and uptick in international ‎markets buoyed the index. TASI had opened the session ‎positively by +46 points from the previous close. and ‎continued to rise until the end of the session. In general, 19 ‎out of 20 sectors closed in the green zone, while 173 stocks ‎rose and 43 fell.  Banks (1.1%), Materials (1.4%), and Energy ‎‎(1.9%) sectors contributed the most to the index' rise of 78 ‎points. Stockwise, Aramco (2%), Saudi British Bank (6%), and ‎Al Rajhi Bank (0.8%) contributed most to the rise of the ‎index. The trading activity witnessed an increase in volume ‎and value of 5% and 6%, respectively, to reach 185mn shares ‎and SAR5.0bn in value traded. The index is likely to ‎consolidate its gains and move sideways in the near-term.‎

 

Market Wrap International:

The global equity markets are likely to enter a relatively ‎subdued phase in the next few sessions. As earnings season ‎slows down next, the focus of the market will once again be ‎on the macro data, policy action/comments from central ‎bankers and geopolitical events. A strong close to the U.S ‎market last week on the stronger than expected U.S job data ‎may face a key litmus test on Monday in the form of inflation ‎data.‎

In Europe, the ECB decision on policy rate last week will be ‎followed by the Bank of England’s policy decision next week ‎‎(25bps hike expected).  The GDP data in the U.K is also due ‎next week and will provide yet another insight to the health of ‎the U.K economy. Other important updates include the ‎minutes of the recent ECB meeting and CPI data in the U.K.‎

 

In Asia, a number of data points and monetary updates are ‎due for the next week. However, the most important data ‎point is perhaps the release of export data in China which is ‎seen as an indicator for the health of the global economy. ‎Markets will also assess any comments from officials in China ‎for fresh measures to support the economy.‎‎

 

Daily Market Monitor 8-05-2023