DUBAI - Saudi Arabia's stock market may respond positively on Wednesday to news that senior prince Miteb bin Abdullah has been freed after reaching a settlement agreement with investigators in the country's corruption probe by paying more than $1 billion.
Apart from Miteb, the first senior figure confirmed to have been released among about 200 people detained in the probe, at least three other people allegedly involved in corruption cases have finalised settlement agreements, a Saudi official told Reuters.
The news may please the market by suggesting that Saudi authorities could soon be able to wind down parts of the probe, reducing the risk of disruption to the economy through the freezing of bank accounts, and reducing the risk that companies linked to detainees could be affected.
The Saudi stock index, last at 6,967 points, faces major technical resistance around 7,000 points, a level which has capped the market since mid-October and which roughly coincides with the 200-day average. Any clean break of that resistance would point up to at least the 7,250-point area.
Other Gulf markets appear to have few positive sources of stimulus, but Egypt
The global market environment is neutral, with MSCI's broadest index of Asia-Pacific shares outside Japan
(Reporting by Andrew Torchia) ((aziz.elyaakoubi@thomsonreuters.com; +971552994086))
Apart from Miteb, the first senior figure confirmed to have been released among about 200 people detained in the probe, at least three other people allegedly involved in corruption cases have finalised settlement agreements, a Saudi official told Reuters.
The news may please the market by suggesting that Saudi authorities could soon be able to wind down parts of the probe, reducing the risk of disruption to the economy through the freezing of bank accounts, and reducing the risk that companies linked to detainees could be affected.
The Saudi stock index, last at 6,967 points, faces major technical resistance around 7,000 points, a level which has capped the market since mid-October and which roughly coincides with the 200-day average. Any clean break of that resistance would point up to at least the 7,250-point area.
Other Gulf markets appear to have few positive sources of stimulus, but Egypt
The global market environment is neutral, with MSCI's broadest index of Asia-Pacific shares outside Japan
(Reporting by Andrew Torchia) ((aziz.elyaakoubi@thomsonreuters.com; +971552994086))
