Saudi Tadawul plunges by 4 percent
It turned out to be largely negative for investors yesterday, as Saudi Arabia's benchmark stock index (TASI) recorded a decline of 4.32 percent, which is the biggest intra-day decrease in more than one year.
The TASI dropped sharply by 329.5 points yesterday, closing at 7,294.38. It plunged to a maximum 378.8 points just before ending the session.
The index trimmed its year-to-date gains to 7.25 percent.
All market cap indices finished to the downside, with Micro Cap going down by 6.6 percent. Sectoral indices all ended in the downward territory, paring an aggregate of 3,921 points.
Real Estate Development, Insurance and Construction sectors showed the worst performance, slipping 8.12 percent, 7.42 percent and 6.57 percent respectively. Retail sector suffered least losses comparatively, down 1.77 percent to close at 9,434.84 points.
Top ten heavyweights also closed lower from previous day's level, where Al-Rajhi Bank dipping by 4.52 percent, Saudi Telecom Co. 4.15 percent and Kingdom Holding 4.05 percent.
Market breadth was largely weak as only Herfy Food Services and Fawaz Abdulaziz AlHokair Company turned green among all Saudi stocks, advancing more than one percent.
On the negative side, share prices of Saudi Industrial Development Co. and SABB Takaful dived to a maximum decline of 10 percent.
Tadawul volume increased dramatically as more and more traders got nervous about the decline of stocks. About 468.6 million shares worth SR 9.7 billion were transacted yesterday.
This turnover reflects 83.0 percent increase in terms of volume and 75.6 percent in terms of value as compared to the previous day.
The 50-day average for trading volume is closer to 248.2 million shares.
Dar Al-Arkan Real Estate and Emaar the Economic City remained significant decliners among most active stocks, falling 9.96 percent and 9.67 percent respectively.
- Gulfnet collaborates on global cybersecurity platform
- Middle East poised to become an industry leader in 3D printing
- UAE Space Agency, Lockheed Martin ‘blast off’ with professional training program
- Show me the money: Lebanon addresses bank transfer delay problems
- Kuwait to receive French helicopters in $1.1B deal