Reports

2023-04-10

Daily Market Monitor 10-04-2023

Tadawul Review:

Tadawul All-Share Index (TASI) closed Sunday's session up ‎‎+60 points (+0.5%) to close at 10,966 levels. TASI had ‎opened the session positively, up 11 points from the previous ‎close, and continued to rise until it reached its intraday high ‎during the middle of the session, achieving +82 points, before ‎retreating at the end of the session to trim some of its daily ‎gains. In general, 14 out of 20 sectors closed in the green ‎zone, while 164 stocks rose and 47 fell. Banks (+0.7%), ‎Materials (+0.6%), and Food and beverages (+2.5%) sectors ‎contributed the most to the index's rise of +43 points. Stock-‎wise, Al Rajhi Bank (+1.1%), Almarai (3%), and Saudi National ‎Bank (+0.6%) contributed most to the rise of the index. The ‎trading activity witnessed an increase in volume and value by ‎‎24% and 4%, respectively, to reach ‎‎212mn shares and ‎SAR5.1bn.‎ The index has appraoched its important ‎resitance area around 11k and may show more sideway ‎moves in near-term.‎

 

 

Market Wrap International:

The global equity markets are likely to move in a range with ‎investors focusing on the important economic data and the ‎start of the Mar-end result season. Besides the flare-up in ‎geopolitical tension between the U.S and China over Taiwan ‎will also likely gain more traction. The job data released on ‎last Friday has once again shifted market’s view in favor of ‎another 25bps hike in interest rate as evident in the spike in ‎treasury yields. However, most equity markets in the U.S and ‎Europe were closed for trading and will likely show reaction on ‎Monday. The upcoming CPI data in the U.S and minutes of ‎the last meeting of FOMC are other two important updates ‎for the market next which may produce volatility on either ‎side. ‎

In Europe, a light calendar of economic data for the region will ‎likely lead investors to take a cue from the updates in the U.S ‎market. The comments from the central bank in the region ‎indicate more room for rate hike by the ECB. Economic data ‎release on CPI (UK, Germany, CPI) and industrial growth ‎‎(Euro area) will be two important areas to track for investors. ‎

 

In Asia, higher yields in the U.S will likely raise concern on ‎near-term volatility in EM currency. CPI data (China, India, ‎Japan) and trade and credit data in China (key proxy for ‎economic recovery) are two major economic data in the ‎region to track.‎

 

 

 

Daily Market Monitor 10-04-2023