Tadawul Review:

The Tadawul All Share Index (TASI) rose on Tuesday’s ‎session by 78 points (+0.7%), closing at 11,665 levels. TASI ‎opened the session positively with 17 points from previous ‎close and continued to rise gradually until the end of the ‎session. In general, 12 out of 20 sectors closed in the green ‎zone, while 74 of 223 stocks rose and 145 fell. Banks (+1.1%), ‎Telecom (+2.2%), and Food and beverages (+2.5%) sectors ‎contributed the most to the index's (+64 points) rise. Stock-‎wise, Al Rajhi Bank (+0.8%), Etihad Etisalat (+4.9%), and ‎Saudi National Bank (+1.1%) were the major contributors. ‎The trading volume activity decreased by -25% DoD to reach ‎‎355mn shares, while the trading value increased by 13% DoD ‎to reach SAR7.8 bn.‎

 

 

Market Wrap International:

The global equity markets extended the dull phase with low ‎volumes and range-bound movement to key indices. While the ‎investors welcome the much-expected reports of new ‎measures by Chinese authorities, the worries over policy rate ‎direction and the upcoming CPI data made investors more ‎cautious. In the U.S, the S&P 500 and Nasdaq Composite ‎indices moved in a narrow range and eked out 0.7 | 0.5% gains ‎at the close. Bank stocks were in focus due to news reports of ‎possible increase in capital requirement for banks, particularly ‎regional small banks, and the announcement of June-end ‎results.‎

In Europe, the Stoxx Europe 600 Index managed to close with ‎minor gains of 0.7%. Investors showed optimism over the fresh ‎measures in China. Mining and construction were the key ‎outperformers. The U.K was in the limelight with the fresh ‎economic data (weekly earnings) highlighting the need for ‎further hike in interest rate. Meanwhile, mortgage rates for ‎different tenures made fresh records (2-year elevated to ‎highest since 2008).‎

In Asia, the authorities in China broadened the scope of ‎incentives for real estate loans in a move which would allow ‎more room for real estate companies to deliver on under-‎construction projects. The impact of the announcement was ‎visible with indices in China (Hang Seng: +0.9%, CSI 300:+0.7%) ‎making significant moves. Semiconductor names were also in ‎demand after TSMC posted a better than expected sales ‎report. Tech heavy indices of KOSPI (+1.7%) and TAIEX ‎‎(+1.5%) made a big jump. Indices in Japan and India bucked ‎the regional trends.‎