Reports

2022-12-07

Daily Market Monitor 7-12-2022

Tadawul Review:

Tadawul All-Share Index (TASI) ended a three-session losing ‎streak on Tuesday, closing up +25 points (+0.2%) and ‎at 10,444 levels. Tuesday's session witnessed fluctuations ‎between gains and losses throughout the session, and TASI ‎opened the session calmly (-13 points) and reached its ‎intraday low during the first hour of trading, down by -154 ‎points from the previous close, as it broke the 10,300 levels. ‎At the end of the session, TASI was able to close in green ‎above the 10,400 levels, closing at its intraday high. In ‎general, 11 sectors out of 20 closed in the green zone, while ‎‎108 stocks rose and 89 stocks declined. Materials (+1.1%), ‎Utilities (+1.3%), and Real Estate (+0.8%) sectors contributed ‎the most to the index's rise of +22 points. Stock-wise, Al ‎Rajhi Bank (+1%), Maaden (+3%), and ACWA Power (+2.6%) ‎contributed most to the rise of the index. The trading activity ‎witnessed an increase in volume and value by 14% and 20%, ‎respectively, to reach 133mn shares and SAR5bn. The index ‎may move more sideways in coming sessions before finding a ‎definite direction. ‎

 

 

Market Wrap International:

The global equity markets underwent a fresh bout of downside ‎volatility following stronger than expected economic data in ‎the U.S which effectively makes a case for higher Fed Fund ‎Rate at the end of current rate cycle. The latest decision by ‎the authorities in the U.S and Europe to impose tariffs on ‎Chinese mining products also raised concerns of a US-China ‎tariff war. In the U.S, the benchmark S&P 500 Index and ‎Nasdaq Composite wavered around the previous close after a ‎steep drop in the previous session. The indices were little ‎changed at the end of the session. Energy‏ ‏and Communication ‎Services‏ ‏were the top underperformers in the S&P 500 Index.‎

In Europe, the benchmark Stoxx Euro 600 Index closed in red ‎for the third straight session. The index lost 0.‎‏6‏‎% due to drags ‎from energy, mining and tech companies. The country-level ‎indices were also weak for the session (down 0.‎‏1‏‎-0.‎‏7‏‎%). The ‎economic data in Germany for Oct-22 (Factory sales, PMI) ‎was mixed and failed to boost investors' confidence.‎

In Asia, the excitement over economic re-opening in China ‎fizzled out as investors focused on the implications of the ‎latest economic data in the U.S and the reaction of Chinese ‎authorities on the latest decision by the U.S & Europe to ‎impose new tariffs on mining products. Hang Seng (-0.‎‏4‏‎%) and ‎Shanghai Composite (+0.02%), the two major drivers of ‎equities in the region in the past few sessions, were quite ‎muted. TAIEX ( -1.7%), and KOSPI (-1.1%) were the major ‎underperformers in the region while indices in Japan ‎‎(TOPIX: +0.1%) and India (SENSEX: -0.3%) moved sideways. ‎‎

Daily Market Monitor 7-12-2022