Reports

2022-09-28

Daily Market Monitor 28-09-2022

Tadawul Review:

Tadawul All Share Index (TASI) snapped its three-day losing streak ‎to record gains of 108 points (+1%), topping the 11,000 level to ‎close at 11,017 level. TASI recorded a decline of about 600 points, ‎during the previous three consecutive sessions. Tuesday's trading ‎session started on a positive note (72 points). The index survived ‎nervous moments during the session (intraday low of -49point) but ‎regained its positive momentum. In general, the increase was ‎broad-based, as 17 sectors out of 20 closed in the green zone, ‎while 166 stocks rose and 42 fell out of 212 stocks. The index gains ‎were led by Banks (+0.6%), followed by Materials (+1.4%), and ‎Energy (+1.1%) sectors, which contributed to the index's rise by 58 ‎points. Stock wise, Al Rajhi Bank (+1.5%) led the charge, followed ‎by Aramco (1.2%), and ACWA Power (+4%). The trading activity ‎witnessed a decline in the volume and value of trading by -7% and ‎‎-11%, respectively, compared to the previous close, reaching ‎‎161mn shares and SAR6.1bn. TASI may look to consolidate at ‎current levels though volatility is likely to remain.‎

 

 

Market Wrap International:

The global equity indices struggled to find footing amid confusion ‎over the latest release of economic data and the comments from ‎the Fed official. Commodity prices also recovered ground. In the ‎U.S, the S&P 500 Index rose from its COVID-era lows in the initial ‎part of the session. However, volatility set in with the index paring ‎gains and closing with minor losses of 0.2%. Other major indices ‎exhibited similar trends, The yield on 10-year bonds declined in ‎initial trading hours only to see a strong recovery towards the 4% ‎mark (+3.5bps at 3.98%). The new homes sales and consumer ‎confidence indices fared better than consensus expectations for the ‎month. Positive data was seen as bearish for bonds as it allows ‎more room for the Fed to lift rates without severely undermining ‎growth.‎

In Europe, the benchmark Stoxx Euro 600 Index made an intraday ‎high of 0.8% before giving away gains to close little changed. ‎Leisure, mining and automakers in the lead. Investors remained ‎edgy over the currency moves in the region. Pound Sterling was ‎relatively stable against USD (up 0.4%) while Euro was broadly ‎unchanged.‎

The Asian markets ditched the overall trend primarily driven by ‎bargain hunting opportunities following a near route in the markets ‎which saw valuations dropping to multi-year lows. The rebound ‎was more pronounced in China (Shanghai Composite: +1.4% with ‎tech and gaming stocks in the lead) while the rest of the indices ‎staged a modest recovery (+0.1-0.5%).‎

 

Daily Market Monitor 28-09-2022