Tadawul Review:

Tadawul All Share Index (TASI) fell for the ninth day on ‎Tuesday’s session by -28 points (-0.2%) to close at 11,244 ‎levels. TASI opened the session positively, up 30 points from ‎the previous close and showing initial upward momentum in ‎the first hour of trading. However, as the session continued, ‎TASI reversed its gains and steadily declined,closing at its ‎lowest levels of the day. In general, 11 out of 20 sectors ‎closed in the red zone, while 99 of 223 shares fell and 114 ‎rose. Banks (-0.5%), Health care equipment and services (-‎‎4.1%), and Materials (-0.9%) sectors contributed the most to ‎the index's -44-point fall. Stockwise, Saudi National Bank (-‎‎2.2%), Maaden (-2.9%), and ACWA Power (-1.7%) were the ‎major contributors. The trading activity witnessed a decline in ‎volume by -19% to reach 220, and the value remained ‎unchanged at SAR6.4bn value traded. TASI has lost ‎cumulatively 662 points in the last nine sessions.

 

 

Market Wrap International:

The global equity markets faced a fresh bout of volatility on ‎the back of adverse economic data in China, corporate rating ‎downgrade in the U.S and surprised tax measures in Italy. The ‎concerns on global economic growth have deepened due to ‎weak trade data in China. In the U.S, the S&P 500 and ‎Nasdaq Composite dropped by 0.4% and 0.8% respectively , ‎primarily dragged by banks and tech. In a latest development, ‎Moody’s investors services downgraded the rating of small ‎banks in the U.S. The rating agency has further highlighted the ‎risk of more downgrades of rating for medium and large banks ‎in the country.‎

In Europe, Italy introduced new tax measures in a bid to force ‎banks to share the gains from higher interest rates. The ‎proceeds from the new tax will be used for financing other ‎social initiatives by the government. The new measure further ‎dented the investors’ sentiment which was already hit by the ‎release of weak economic data in China. The Stoxx Europe ‎‎600 Index fell by 0.2%. Country level indices too dropped in ‎the range of 0.4-1.1%.‎

In Asia, the trade data in China came in worse than expected ‎and accentuated investors pessimism regarding the growth ‎target set by the authorities. All major equity indices in the ‎region faced selling pressure. Hang Seng (-1.8%) and CSI 300 ‎‎(-0.3%) led the decline. Equity indices in Japan\ , however, ‎were exceptions and jumped 0.4-0.7%.‎