Tadawul Review:

Tadawul All-Share Index (TASI) closed Thursday's session up ‎‎+53 points (+0.5%) to close at 10,463 levels. TASI opened the ‎session positively, up by 5 points from the previous close, and ‎continued its rise during the first trading hours, reaching its ‎intraday high of +103 points before starting to reduce its ‎profits by 50 points until the end of the session. In general, 14 ‎out of 20 sectors closed in the green zone, while 139 stocks ‎rose and 63 fell. Banks (+0.6%), Energy (+1.2%), and Real ‎Estate (+1.2%) sectors contributed the most to the index's ‎rise of +36 points. Stock-wise, Aramco (+1.2%), Al Rajhi Bank ‎‎(+1.2%), and Bank AlBilad (+1.8%) contributed most to the ‎rise of the index. Trading activity also witnessed a decline in ‎volume and value by 4% for both, to reach 143mn shares and ‎SAR3.9bn. TASI will likely show renewed volatility on the ‎back of fresh stress on the global financial system in the wake ‎of collapse of Silicon Valley Bank in the U.S. over the ‎weekend. ‎

 

 

Market Wrap International:

The global equity indices underwent heightened volatility ‎following the collapse of Silicon Valley Bank (SVB), one of the ‎sizable banks in the U.S and below par economic data. The ‎collapse of SVB has renewed the memories of 2008 Great ‎Financial Crisis (GDC) and has increased the stress on the ‎global financial entities. A significant drop in the U.S treasury ‎yields of 14-28bps across tenures did little to support the ‎investors sentiments. The benchmark S&P 500 and Nasdaq ‎Composite lost 1.5% and 1.8%, respectively, with both indices ‎erasing the gains from the start of the year. All eleven sectors ‎on the S&P 500 closed negative, with real estate (3.25%) ‎having the biggest drop.‎

In Europe, the benchmark Stoxx Europe 600 Index dropped ‎by 1.4% as the investors closely tracked the updates on SVB. ‎The stress on the listed financial names from the SVB was ‎quite visible as the financials (-3.4%) were the biggest drag on ‎the index. Country level indices in the region also recorded ‎sizable losses of 1.3-1.7%.‎

Asia painted a similar picture with added pressure from the ‎investors disappointment over reduced possibility of additional ‎economic stimulus measures in China anytime soon and Bank ‎of Japan (BoJ) decision to maintain ultra loose monetary ‎policy. The major indices dropped by 1-3%. Hang Seng (-3%) ‎was the biggest loser in the region followed by Topix (-1.9%). ‎