TASI leads GCC bourses, keeping 6,800 pts seen positive – Analysts

TASI leads GCC bourses, keeping 6,800 pts seen positive – Analysts
The Saudi Stock Exchange’s (Tadawul) has led neighbouring GCC markets in terms of performance lately, analysts told Mubasher

By: Mahmoud Salah El Din

Riyadh – Mubasher: The Saudi Stock Exchange’s (Tadawul) has led neighbouring GCC markets in terms of performance lately, analysts told Mubasher.

If the Saudi bourse remains above 6,800 points, this will lead to stability and the continuity of its rising trend, as Tadawul is the largest stock market in the GCC, they added.

Last week, Saudi Arabia started an anti-corruption crackdown, which involved a number of arrests including several princes, and former and current ministers, who were accused of corruption.

Tadawul and GCC bourses will see a sideways performance within a 50 to 150-point range, analyst Ibrahim Al Filkawy, noting that investors will focus on Tadawul as it reflects the ongoing geopolitical situation in the region.

If TASI breaks below 6,800 points, it will see negative trend, whereas if it exceeds this level, it will remain stable and grow, Al Filkawy added.

Meanwhile, market analyst Mohammed Ashemimry told Mubasher that TASI has continued its sideways performance for the second consecutive week between 7,031 and 6,800 points, noting that on a weekly basis, the bourse is still performing negatively.

In the previous three weeks, Tadawul saw strong fluctuations, representing bases at 6,846, 6,819, and 6,775 points, in line with a rise in trading volume, Ashemimry added, noting that current trend may bolster the Saudi bourse at least on the short-term.

If TASI exceeds 6,692 points, this will allow it to reach between 7,030 and 7,050 points, whereas breaking below 6,900 points is considered negative for the market, technical analyst Osama Alsadamy said.

Translated by: Mohamed Hesham Azab

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Source: Mubasher

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