Tadawul Review:

Tadawul All-Share Index (TASI) snapped its three-day losing streak ‎by rising +35 points (+0.3%) to close at 11,247 levels. The index ‎gains were , however, modest relative to market moves seen in the ‎region over the weekend. The index made a relatively strong start ‎and rose to an intraday high of 135ppoint. before paring most of ‎intraday gains . In general, 12 out of 20 sectors closed in the green ‎zone, while 116 shares rose and 86 fell. Banks sector contributed ‎the most to the index's rise (+0.5%), followed by Energy (+0.6%) ‎and Utilities (+1.5%), as they contributed to the index's rise with a ‎total of 29 points. Stock-wise, Saudi National Bank (+2.9%), ‎Aramco (+0.6%), and ACWA Power (+2.3%) contributed most to ‎the stability and rise of the index. The trading volume activity ‎declined by 7% DoD to reach 120mn shares, while the trading ‎value increased by 40% DoD to reach SAR6.7bn (PIF sold 10% of its ‎Tadawul Group holdings, accounting for SAR2.3bn of the trading ‎value). The index may look to make further recovery in coming ‎sessions.‎

 

 

Market Wrap International:

Following a strong close to a preceding week, the global markets will ‎likely go through a phase where investors will look for new ‎economic data to substantiate the market view of easing inflation ‎and possible slow-down in Fed interest rate cycle. Furthermore, the ‎latest updates from China on relaxation measures for property ‎sector and easing of COVID-19 restrictions will also find traction ‎among investors. In the U.S, the key data to watch for include ‎Production Price Inflation for Oct, housing market and retails sales ‎which may put a strong two-day performance of the major indices ‎to test. ‎

In Europe, a number of important events and data points are lined ‎for the next week which include CPI, GDP, and unemployment data ‎for the region for the month of Oct/3Q. Besides, ECB officials are ‎also due to speak during the week. Given the latest moves in the ‎currency and bond markets, investors will look for hints for possible ‎tweaking of policy guideline unveiled by the central bank recently. ‎In U.K, the new government is scheduled to release its economic ‎plan on 17th Nov. Market’s reaction to future measures remains ‎crucial. Three key areas highlight in the media reports include; ‎higher coverage of top tax, windfall gains for energy, and higher ‎taxes for financials.‎

In Asia, China will once again remain in the limelight for at least ‎three reasons, (i) US-China relationship in the backdrop of G20 ‎conference, (ii) a 16-point relaxation measures for the property and ‎‎(iii) easing of COVID-19 restrictions. Currencies of emerging markets ‎in the region has made a strong recovery in the past two sessions ‎while growth outlook for the region is improving. Low valuation and ‎marginal positive macro news-flow may allow markets in the region ‎to make further gains. ‎