Reports

2022-09-06

Daily Market Monitor 6-09-2022

Tadawul Review:

Tadawul All Shares Index (TASI) dropped 94 points (-0.8%) ‎‎at 12,099.84 on Monday. The index fell to its lowest ‎closing level ‎since July 27 after rising 0.4% in the previous session. Where ‎the session opened with a decrease of ‎‏9‏‎ ‎points, and in the ‎middle of the session, TASI reached the highest point with a ‎rise ‎‏45‏‎ and then began to decline ‎gradually, however during ‎the closing auction, the market declined by further 45 points ‎to close at its lowest levels of ‎the day. 15 of 20 sectors closed ‎in the red with Banks (-1.1%) and Software & Services (-‎‎2.17%). Saudi National Bank (-‎‎1.9%), Al Rajhi Bank (-0.8%), ‎and Aqua Power (-4.1%) pulled the index down the most. ‎Overall, trading activity inched ‎up as volume and value ‎traded rose by 3% and 9% DoD to 115mn shares and ‎SAR4.9bn.‎ The advance to decline ratio came in at 1:2.5. The ‎index has flipped flopped around its 200DMA in absence of ‎any major trigger. The latest move in oil prices (+~4%) may ‎provide a much-needed trigger to the market.‎

 

 

Market Wrap International:

The global equity markets started the week where they had ‎left off last week with energy, currency and COVID-19 related ‎lockdown measures dictating the direction. The U.S markets ‎were closed for a public holiday on Monday.‎

In Europe, the Stoxx Euro 600 Index erased most of the gains ‎from the previous session to drop by ‎‏0.6‏‎%. The Euro slipped ‎below 0.99/USD for the first time in two decades ahead of an ‎important ECB meeting on policy rate on Thursday. The relief ‎on announcement by the operator of Nord Stream pipeline  ‎proved to be short-lived as Gazprom, the biggest supplier to ‎the region, cut the gas supply indefinitely, raising fears of ‎deeper energy supply woes for the region.  ‎

In Asia, markets exhibited mixed trends on Monday barring ‎few exceptions. The equity indices in Japan (Topix: -0.1%), ‎Taiwan (TAIEX: -0.1%), and Korea (KOSPI: -0.2%) were ‎broadly unchanged.  The announcement of extending the ‎lockdown measures to more cities in China and reports of US’ ‎plans to restrict investment in tech stocks in China dragged ‎the HangSeng Index in Hong Kong by 1.2%. Meanwhile ‎Shanghai Composite in China rose 0.4% on the latest measure ‎by the central bank to ease reserve requirements.‎

Daily Market Monitor 6-09-2022