Most stock markets in the Middle East ended lower on Sunday, with the Egyptian bourse leading the declines, in response to Friday’s fall in global shares over fears of contagion following the collapse of Silicon Valley Bank.
The startup-focused lender became the largest bank to fail since the 2008 financial crisis on Friday, roiling global markets and leaving billions of dollars belonging to companies and investors stranded.
In Qatar, the index slid 1.6 percent, as almost all the stocks were in negative territory including Qatar Islamic Bank, which tumbled 3.9 percent.
According to Daniel Takieddine, CEO MENA at BDSwiss, the Qatari market could also be exposed to the tensions that emerged in the US this week and could put pressure on the local banking sector’s
stock prices.
Saudi Arabia’s benchmark index dropped 0.8 percent, weighed down by a 1.7 percent fall in Al Rajhi Bank and a 0.8 percent decrease in Retal Urban Development Co.
HIGHLIGHTS
In Qatar, the index slid 1.6 percent, as almost all the stocks were in negative territory including Qatar Islamic Bank, which tumbled 3.9 percent.
Saudi Arabia’s benchmark index dropped 0.8 percent, weighed down by a 1.7 percent fall in Al Rajhi Bank and a 0.8 percent decrease in Retal Urban Development Co.
Egypt’s blue-chip index tumbled 3.1 percent, with 28 of 31 stocks on the index trading red.
The total trading turnover of the benchmark index was SR3.42 billion ($910 million) as 75 stocks of the listed 224 advanced and 132 retreated.
National Shipping Co. of Saudi Arabia, also known as Bahri, was the topmost performer of the day as its share price shot up 9.93 percent to SR29.90.
Thimar Development Holding Co. was the day’s next best performer as its share price surged 9.87 percent to SR33.40. The stock rose 76 percent in the last seven sessions.
Saudi Ground Services Co., Wafrah for Industry and Development Co. and Jabal Omar Development Co. were the other top performers of the day.
Bank Albilad took the worst hit as its share price fell 3.55 percent to SR38.
The other poor performers of the day included Theeb Rent a Car Co., Riyad Bank and Saudi Arabian Amiantit Co.
Oil behemoth Saudi Aramco ended flat, despite reporting a steep rise in 2022 profits.
Aramco posted a record annual net profit of $161.1 billion for 2022, up 46 percent from the previous year on higher energy prices, increased volumes sold and improved margins for refined products.
Outside the Gulf, Egypt’s blue-chip index tumbled 3.1 percent, with 28 of 31 stocks on the index trading red, including top lender Commercial International Bank, which was down 1.8 percent.
