October 24 – The Saudi index was on track to end two sessions of gains as major stock markets in the Gulf dipped on Monday as oil prices, a critical driver of financial markets in the Middle East, sank more than 1%.
Crude prices dropped as statistics from China revealed that the world’s largest crude importer’s demand remained weak in September due to rigorous COVID-19 policies and restrictions on fuel exports.
According to customs data released on Monday, despite being higher than in August, China’s crude imports in September, at 9.79 million barrels per day, were 2% lower than they had been a year earlier. This was because independent refiners limited throughput due to thin margins and weak demand.
Al Rajhi Bank (1120.SE) and oil giant Saudi Aramco (2222.SE) both experienced losses of 0.7%, sending Saudi Arabia’s benchmark index (.TASI) down 0.6% and putting an end to its two-day gaining run.
Another firm that experienced a significant intraday decline was Saudi Kayan Petrochemical Co (2350.SE), which plunged more than 6% after reporting a quarterly loss of 812.27 million riyals ($216.14 million).
On the other hand, shares of Saudi Dairy and Foodstuff Co (2270.SE) increased by 10%, the daily maximum, as the company’s quarterly net profit increased by 60%.
The largest lender in the nation, First Abu Dhabi Bank, saw a 0.1% decline, contributing to a 0.3% decline in Abu Dhabi’s index (.FTFADGI) (FAB.AD).
Emaar Properties (EMAR.DU), a top-tier developer, saw a 0.3% decline, and Emirates NBD, a top lender, saw a 0.4% decline, both of which contributed to a 0.3% decline in Dubai’s main share index (.DFMGI) (ENBD.DU).
According to a Monday advertisement in Gulf News, Dubai intends to offer 10% of Emirates Central Cooling Systems Corporation (Empower) in an IPO. View More
Empower is the fourth state-affiliated entity to apply for a listing in Dubai this year as part of a push to draw investors to the local stock market.
The Sharia-compliant lender Masraf Al Rayan (MARK.QA) lost 1.4%, and Commercial Bank (COMB.QA) fell 1.4% ahead of its profits presentation, as the Qatari index (.QSI) traded 0.4% down.
