2023-10-16
Daily Market Monitor 16-10-2023
Tadawul Review:
Tadawul All Share Index (TASI) fell on Sunday’s session, down by -43 points (-0.4) to close at 10,543 levels. The session began at the same level as the previous close and initially dropped by 76 points within the first trading hour. However, it later rebounded and gradually increased during the remainder of the session. Overall, 10 out of 20 sectors closed in the red zone, while 121 shares fell and 86 rose. Banks (-1.1%), Energy (-0.9%), and Materials (-0.3%) sectors contributed the most to the index fall. Stockwise, Aramco (-1.0%), Saudi National Bank (-2.3%), and Riyad Bank (-2.3%) were the major contributors. The trading activity witnessed a decline in volume and value of -46% and -41%, respectively, to reach 153 shares and SAR3.8bn in value traded.
In the U.S. markets, investors will assess the condition of U.S. consumers, whose spending plays a significant role in driving approximately two-thirds of the economy, with a U.S. retail sales report and earnings due from Procter & Gamble, Netflix, and a slew of banks. The Israeli-Hamas conflict raises worries about geopolitical risks impacting financial markets, with the potential for oil price increases and a blow to the global economy.
In Europe, amidst preparations for a military operation, Israel's evacuation order in Gaza has led traders to seek safety. In Russia, the IMF has expressed concerns about the long-term economic outlook, despite short-term growth driven by substantial military spending.
In Asia, China's equity market is expected to receive a positive boost, as reports suggest that the country is contemplating the establishment of a state-backed stabilization fund. This move is aimed at bolstering investor confidence. Additionally, two Hong Kong-based investment banks face potentially record-breaking fines for engaging in naked short-selling, as announced by South Korea's stock market watchdog.
Daily Market Monitor 16-10-2023
Download Arabic file
