Latest news with #XTBMENA
Arab News
9 hours ago
- Business
- Arab News
Foreign ownership in Saudi equities tops $105bn despite market pullback
RIYADH: Foreign investors held SR394.58 billion ($105.2 billion) in Saudi equities as of June 12, marking an annual decline of 1.1 percent, although their market share rose amid a broader downturn. According to the latest data from Saudi Exchange, the dip in foreign ownership comes as the total value of holdings in the main market fell to SR9.14 trillion, down from SR9.95 trillion in June 2024, as valuations across key sectors — including financials, materials, and energy — softened. The increase in foreign investors' market share — from 4.01 percent to 4.32 percent — is attributed to the overall decline in market size. Saudi nationals remain dominant in the market, holding SR8.68 trillion, or 94.94 percent of total ownership, down from SR9.48 trillion, or 95.28 percent, a year earlier. Investments from Gulf Cooperation Council countries also dipped, with holdings falling from SR70.17 billion to SR67.46 billion, despite their share slightly increasing to 0.74 percent. The drop in market capitalization coincided with a 1.5 percent decline in the Tadawul All Share Index on June 12, driven by losses in heavyweight stocks such as Al Rajhi Bank and Saudi Arabian Mining Co. The selloff came amid renewed geopolitical tensions in the region. 'While solid fundamentals offer a hopeful outlook, the market's reaction was more heavily influenced by geopolitical tensions,' said Milad Azar, a market analyst at XTB MENA, in comments to Reuters. His statement followed the US decision to reposition diplomatic staff in the region, stoking concerns over escalating tensions with Iran. The move added pressure to already cautious markets, where investors have been rebalancing portfolios in response to rising interest rates and shifting risk appetite. Despite recent volatility, the long-term outlook for foreign participation remains strong. Saudi Arabia's inclusion in global emerging market indices — such as MSCI, FTSE Russell, and S&P Dow Jones — continues to support passive fund flows. Reforms under Vision 2030, including enhanced transparency, stronger corporate governance, and an expanding privatization pipeline, are widely viewed as central to boosting long-term investor engagement in Saudi Arabia's capital markets. The government's commitment to diversifying the economy has opened new sectors for investment, while regulatory upgrades have helped align local practices with international standards. As part of these reforms, Tadawul has undergone a transformation in recent years to enhance its global appeal. The market's inclusion in major emerging market indices between 2018 and 2019 helped unlock billions in passive fund inflows. Since then, Tadawul has focused on improving disclosure quality, streamlining Qualified Foreign Investor registration, and modernizing its trading and post-trade systems. This evolution continues to attract international capital through a growing pipeline of sector-diverse initial public offerings. Recent listings in health care, technology, and consumer goods have provided foreign investors with broader exposure to non-oil growth areas, further supporting portfolio diversification. Meanwhile, ongoing efforts to enhance post-trade infrastructure and environmental, social, and governance reporting are expected to improve overall market competitiveness and strengthen the exchange's appeal to long-term institutional investors.
Asharq Al-Awsat
20-05-2025
- Business
- Asharq Al-Awsat
Saudi Arabia Ready for Multiple Oil Price Scenarios, Economy Minister Says
Saudi Arabia is always ready for multiple oil price scenarios, and budgets are driven by priorities, the kingdom's economy minister said on Tuesday. "We're always ready for scenarios - multiple scenarios, and we have buffers," Faisal Alibrahim told an audience at the Qatar Economic Forum in Doha. "We have the long-term fiscal planning and medium-term frameworks that help us adjust depending on what scenario actually plays out," he said. Meanwhile, Saudi Arabia's stock index rose 0.29%. "Fundamentally, the Saudi stock market remains supported by a positive economic outlook, which could lead to potential advances in the medium term, provided oil prices and external factors are favourable," said Hani Abuagla, Senior Market Analyst at XTB MENA.
Zawya
15-04-2025
- Automotive
- Zawya
Mideast Stocks: Most Gulf markets end higher on potential US tariff exemptions
Most stock markets in the Gulf ended higher on Tuesday after U.S. President Donald Trump suggested he might grant exemptions on auto-related levies already in place. Trump said on Monday he was considering a modification to the 25% tariffs on auto and auto parts imports from Mexico, Canada and other places. He said car companies "need a little bit of time because they're going to make 'em here." The U.S. recently exempted smartphones, computers and certain electronics from Trump's "reciprocal" tariffs, but probes into semiconductor imports have intensified, with Trump set to announce tariff rates soon. Saudi Arabia's benchmark index rose 0.2%, with Al Rajhi Bank rising 0.5% and telecoms firm Saudi Telecom Company increasing 2.3%. The market has solid fundamentals conducive to recovery should sentiment improve, although trade tensions and low oil prices persist as notable risks, said Milad Azar, market analyst at XTB MENA. Dubai's main share index closed 0.4% higher, with blue-chip developer Emaar Properties advancing 2.1%. In Abu Dhabi, the index added 0.6%. Oil prices — a catalyst for the Gulf's financial markets — inched down after the International Energy Agency followed OPEC in slashing its oil demand forecast, though price falls were limited by Trump's suggestion of new tariff exemptions. The Qatari index climbed 0.7%, led by a 1.3% gain in Qatar Islamic Bank. Outside the Gulf, Egypt's blue-chip index closed flat. Egypt's central bank is expected to cut overnight interest rates by 200 basis points on Thursday, but analysts say tariff uncertainty is likely to make it cautious despite plunging Egyptian inflation, a Reuters poll shows. SAUDI ARABIA added 0.2% to 11,617 Abu Dhabi rose 0.6% to 9,290 Dubai gained 0.4% to 5,078 QATAR was up 0.7% to 10,213 EGYPT was flat at 31,185 BAHRAIN eased 0.1% to 1,903 OMAN closed flat at 4,278 KUWAIT finished flat at 8,358 (Reporting by Ateeq Shariff in Bengaluru; Editing by Sahal Muhammed)
Zawya
08-04-2025
- Business
- Zawya
Mideast Stocks: Gulf bourses rebound in line with global shares
Stock markets in the Gulf ended higher on Tuesday, rebounding from a global selloff on hopes that the U.S. might be willing to negotiate some of its heavy import tariffs. Saudi Arabia's benchmark index advanced 1%, extending gains from the previous session, led by a 1.9% rise in Al Rajhi Bank and a 4.7% jump in Elm Company . On Sunday, the Saudi index had fallen 6.8%, its biggest one-day slide since the early days of the 2020 COVID-19 pandemic. The Saudi bourse recovered for the second consecutive day after finding support levels, said Milad Azar, a market analyst at XTB MENA. "However, a sustained general recovery would require fundamental changes, particularly regarding tariff risks and their potential economic impact." Dubai's main share index climbed 1.9%, buoyed by a 1.3% gain in blue-chip developer Emaar Properties and a 2.2% leap in sharia-compliant lender Dubai Islamic Bank. In Abu Dhabi, the index added 0.5%. Oil prices — catalyst for the Gulf's financial markets — steadied but remained near four-year lows as a recovery in equity markets was outweighed by recession fears exacerbated by trade conflicts. The Qatari index rose 1.3%; Qatar Islamic Bank gained 2.5% and petrochemical maker Industries Qatar was up 2.3%. Outside the Gulf, Egypt's blue-chip index rose 0.6%, supported by a 7.1% jump in tobacco monopoly Eastern Company. Egypt and France have signed a 7 billion euro ($7.66 billion) agreement to develop finance and operate a green hydrogen production facility, Egypt's transportation ministry said. SAUDI ARABIA climbed 1% to 11,303 Abu Dhabi added 0.5% to 8,989 Dubai gained 1.9% to 4,890 QATAR advanced 1.3% to 9,897 EGYPT added 0.6% to 30,649 BAHRAIN was up 0.1% to 1,899 OMAN rose 0.9% to 4,261 KUWAIT jumped 3.1% to 8,302 ($1 = 0.9135 euros) (Reporting by Ateeq Shariff in Bengaluru; Editing by Sahal Muhammed)
