Saudi stock market reaches all-time high
The NCFEI all-share index closed on Thursday, June 21, at 2,426.92 points, representing an increase of 7.5 percent since the beginning of the year, and reaching its highest level since the index was launched in 1985.
The gains were attributed to the rise in the banking sector and to the latest announcements of economic reforms in the Kingdom, reported AFP new agency. In a move towards economic reform, the Saudi government has reduced customs duties by five percent and increased oil prices following Iraq’s decision in early June to cut its production by 2.2 million barrels. In addition, the government has signed agreements with eight major oil companies for three upstram gas projects valued at $50 billion.
In Thursday’s trading, although Saudi Arabia Fertiliser Co. lost 4.1 percent, Saudi French Bank and Saudi Hollandi Bank rose 5.5 and 4.8 percent, respectively. The trading session ended with 26 stocks closing higher, 36 lower and four remaining unchanged. Total trading value for the week fell to 2.01 billion riyals ($537 million) from 2.9 billion riyals ($770 million) the previous week.
The Saudi Arabian stock market—with over $60 billion in capitalization—operates only on an interbank market system.— (MENA Report)
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