Tadawul Review:

Tadawul All-Share Index (TASI) declined on Thursday for the ‎third consecutive day by -195 points (-1.7%) to close at ‎‎11,212 levels, the lowest close since September 29, 2022. The ‎decline in global market indices, fluctuation in Brent crude oil ‎prices and stubbornly high SAIBOR rate (12-M at all time ‎high) led to the decline in TASI on Thursday. The index ‎opened the session negatively at lower levels, and continued ‎its decline for the rest of the session. In general, all sectors ‎closed in the red, while all stocks fell except for 17 stocks ‎declined. Banks (-1.9%), Materials (-1.9%), and Utilities (-3%) ‎sectors contributed the most to the decline in the index by a ‎total of 123 points. Among stocks, Saudi National Bank (-4%), ‎Al Rajhi Bank (-1.4%), and Saudi British Bank (-2.3%) pulled ‎the index down the most. The volume of trading activity ‎witnessed an increase of +8% to reach 129mn shares, while ‎the trading value remained at the same levels to reach ‎SAR4.8bn. TASI is likely to react positively to the events in ‎international markets and strong performance of major ‎indices over the weekend. ‎

 

 

Market Wrap International:

The global equity indices paint a completely different picture ‎following a modestly below-expected CPI print in the U.S on ‎Thursday and easing of COVID-19 restrictions in China on ‎Friday. An actual CPI reading of 7.7% vs consensus expectation ‎of 7.9% produced a rally in major risk assets (bonds, equity, ‎previous commodity) with a significant drop in US dollar index ‎‎(down ‎‏3.8‏‎% in two days) and knock-on impact major ‎currencies (JPY, Euro, Pound). In the U.S markets, the S&P ‎‎500 Index moved higher by ‎‏0.9‏‎% on Friday following a massive ‎‎+5% gain on Thursday. Energy and Consumers Discretionary ‎were the major outperformers. ‎

In Europe, the benchmark Stoxx Euro 600 Index was little ‎change (+0.1%) on Friday as excitement over better-than-‎expected CPI data in the U.S was tamed by concerns over ‎latest economic forecasts by European Commission and near-‎term inflation drag.‎

In Asia, markets celebrated the be double blessings in the form ‎of strong market performance in the U.S overnight along with ‎movement in major currencies of the region, and latest ‎announcement from China. The HangSeng Index in Hong Kong ‎‎(+7.7%) stole the show followed by TAIEX (+3.37%) in Taiwan, ‎KOSPI (+3.3%) in Korea and Nikkei 225 (+‎‏3‏‎%) in Japan.  ‎