JEDDAH, 22 November 2005 -- The Saudi stock market continued to drift lower for the third consecutive day yesterday. The Tadawul All-Share Index (TASI) closed 72.46 points lower yesterday at 15,888.53.
The major Banking and Industrial indices also fell. The Banking index dropped 149.40 points to close at 39,569.84 as shares of major banks fell except those of Riyad Bank and Arab National Bank.
Saudi Basic Industries Corp. shares declined by 1.22 percent at SR1,539. The fall in share prices of major industrial companies pulled the index down at 39,272.45.
Only the Electricity, Services and Agricultural indices were higher yesterday.
Saudi Electricity Co. shares edged higher slightly at SR141.75.
Shares of Saudi Telecom Co. and Etihad Etisalat also fell at SR897 and SR704.25, respectively.
Ibrahim Al-Rumaih, vice president of the Capital Market Authority, said his organization would soon implement a new project to develop the stock exchange system. Addressing a conference on Saudi stock market in Riyadh, emphasized the importance of modernizing the depositing system. "We have worked to develop this system," he added.
Al-Rumaih said the number of investors in the Saudi stock market was growing day by day. "There is tremendous increase in the number of stock deals and shares exchanged," he added. He estimated the total number of registered investors at 2.5 million by the end of the third quarter of this year. Of whom, 1.2 million investors were added this year alone, he pointed out.
Meanwhile, according to the information received here yesterday, Dubai Gold and Commodities Exchange, the world's newest commodities exchange and the first such marketplace in the Middle East, will commence trading today.
Prior to the launch of active trading senior officials from the government of Dubai, regional business and financial leaders, market regulators, market participants and DGCX stakeholders will gather to mark the occasion in a spectacular event to be held at the Jumeirah Beach Hotel. The ceremony will be attended by Sheikh Mohammed ibn Rashid Al-Maktoum, crown prince of Dubai and UAE defense minister.
Framroze Pochara, chief executive of DGCX said, "Nov. 22 will be a momentous day for Dubai, the global commodities trading community and the wider business community. Tomorrow (Tuesday), the world's newest exchange and the Middle East's first electronic derivatives exchange will be trading." From day one, DGCX will offer an uninterrupted trading window of thirteen hours and fill the time gap between Far East and Europe.
By Khalil Hanware
© Arab News 2005
