Tadawul Review:

Tadawul All Share Index (TASI) declined by -129 points (-‎‎0.14%) on Thursday, to close at 11,421. TASI started the ‎session on a muted note but soon the index came under selling ‎pressure and gradually dropped by 93 points before the closing ‎auction. In the closing auction, the index lost another 40 points. ‎In general, all sectors were closed in the red zone except for ‎the insurance sector and the food and beverage sector. ‎Advance to decline ratio came in at a healthy 1:5. The index's ‎losses were driven by the banking sector (-1.7%), followed by ‎the materials sector (-0.8%), and energy (-0.8%), which ‎contributed to the decline of the index by a total of 92 points. ‎Trading activity witnessed a drop in the amount and value of ‎trade by 21% and 20%, respectively. TASI is likely to remain ‎directionless in near-term given volatility in international ‎markets though result season may produce stock/sector ‎specific excitement. ‎

 

 

Market Wrap International:

The global equity markets closed the tumultuous week on a ‎divergent note. In the U.S, the surprise recovery seen on ‎Thursday fizzled out on Friday on the release of latest surveys on ‎inflation expectation and consumer sentiment, both pointing to ‎slow-down in real demand and stickiness of inflation. The pull-‎back effectively pared the weekly gains and left the key indices ‎at levels seen during COVID-19 period. The S&P 500 and ‎Nasdaq Composite lost -2.4% and -3.1% respectively. All eleven ‎sectors, closed in red while bond yields hovered close to recent ‎highs. Big results in financial sectors also failed reverse the ‎momentum. ‎

In Europe, the announcement of scrapping a significant part of ‎recent generous fiscal package in the U.K lifted the sentiment. ‎Low valuation also prompted investors to take a fresh look. The ‎benchmark Stoxx Euro 600 Index closed the session with a gain ‎of 0.6%, off to an intraday high of 2.6%.‎

In Asia, markets responded to surprised recovery in the U.S a ‎day before and closed with significant gains of 1.2-3.3%. ‎Sentiment were also positive ahead of much-anticipated twice-a-‎decade leadership meeting of China Communist Party.  ‎Financials and tech names were in the lead with investors ‎deciding to look for bottom fishing opportunities amid recent ‎battering in key markets. ‎