Feb 07 2012 |
more articles from
|
Economic upturn boosts Saudi bourse
Index surges on Sunday to highest level in over a year
Tadawul bourse, by far the largest and busiest stock market in the Middle East, climbed at the end of Sunday's trading to 6,758.87, the highest level in over a year and by 5.3% since the beginning of 2012, National Commercial Bank ( NCB ) said in its weekly report, sent to Emirates 24/7.
"The strong start for the global economy this year, coupled with strong domestic corporate earnings, lifted stock prices higher....the strong upward trajectory is backed by a fundamentally sound economy. Indicators point for further increases albeit facing resistance levels around the 6,800 mark."
The report showed that as of last week, most sector indices in the Riyadh-based bourse have posted gains year-to-date with the exception of energy and petrochemicals mainly due to SABIC falling short of earning expectations.
Top performing sectors, transport and multi-investment have recorded 18.4 per cent and 14.4 per cent YTD, respectively.
Investor appetite has increased drastically as witnessed by the expanding volumes of trade and daily traded values as excess liquidity in the market has shifted focus to stocks, said NCB , the largest bank in the Gulf Kingdom.
It said daily traded volumes recorded a 33-month high by reaching SR10 billion on Saturday. Moving forward into 2012, daily traded volumes averaged SR7 billion in comparison to last year's SR3.6 billion over the same period.
"The strong appeal for stocks, if sustained, will push the index past resistance levels and close to the 6,900 level.... however, we expect investors to skim capital gains within the next week to keep TASI range bound between 6,650-6,750," the report said.
© Emirates 24|7 2012
Zawya Comment Policy
-
Zawya encourages you to add a comment to this discussion. You agree that when you add content to this discussion your comments will not:
1.1 Contain any material which is libelous or defamatory of any person, is obscene, offensive, hateful or inflammatory or causes damage to the reputation of any person or organisation.
1.2 Promote sexually explicit material, violence, discrimination based on race, sex, religion, nationality, disability, sexual orientation or age or any illegal activity.
1.3 Be made in breach of any legal duty owed to a third party, such as a contractual duty or a duty of confidence.
1.4 Be threatening, abuse or invade another's privacy, or cause annoyance, inconvenience or needless anxiety.
1.5 Be used to impersonate any person, to misrepresent your identity or affiliation with any person, or be likely to deceive any person.
1.6 Give the impression that they represent Zawya.
1.7 Advocate, promote or assist any unlawful act such as (by way of example only) copyright infringement or computer misuse. - The content posted on www.zawya.com is created by members of the public. The views expressed are theirs and unless specifically stated are not those of Zawya. Zawya reserves the right to review all comments prior to posting and edit or delete any contribution, but Zawya is not responsible for and can not be held liable for any content posted by members of the public on www.zawya.com.
- Zawya is not responsible for the availability or content of any third party sites that are accessible through www.zawya.com. Any links to third party websites from www.zawya.com do not amount to any endorsement of that site by Zawya and any use of that site by you is at your own risk.
- By submitting your comment, you hereby give Zawya the right, but not the obligation, to post, air, edit, exhibit, telecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comments worldwide, in perpetuity.
Copyright © 2012 Zawya Ltd. All rights reserved. |
provided by www.zawya.com |
Post Your Comment