RIYADH: Saudi Arabia’s Tadawul All Share Index maintained its strong year-to-date momentum, delivering a 2.9 percent gain in the first six months of this year, according to Kamco Invest.
The report revealed that the Kingdom was also the second-best-performing market in the Gulf Cooperation Council region, after Muscat Stock Exchange’s 28 percent surge in the first half of this year.
Saudi Arabia has accelerated efforts to strengthen its capital markets through regulatory reforms, market liberalization and new listings, positioning the Tadawul as a key source of funding for businesses and a gateway for international investors. The initiative supports Vision 2030’s broader goal of building a more diversified, private sector-led economy.
Kamco Invest, however, added that the country’s benchmark index declined by 2.5 percent in June compared to May, as regional tensions weighed on sectors including energy and banking.
“Saudi Arabia’s TASI declined for the third consecutive month in June 2026, reflecting weaker investor sentiment amid a lack of clarity over the US-Iran negotiations and lower oil prices, as well as expectations that the US Federal Reserve would maintain higher interest rates for longer,” said Kamco Invest.
It added: “Despite the decline, the index remained the second-best-performing market in the Gulf Cooperation Council since the start of the year with a gain of 2.9 percent.”
The Dubai Financial Market General Index recorded the largest monthly gain in the GCC, up 3.4 percent in June, followed by the Bahrain bourse at 3.2 percent and the Abu Dhabi Securities Exchange at 1.1 percent.
Boursa Kuwait declined by 1.1 percent month on month in June, while Qatar’s benchmark DSM Index dropped by 3 percent during the same period.
Muscat Stock Exchange recorded a decline of 3.2 percent during June, marking its second consecutive monthly drop on the back of 10 successive months of solid gains for the index.
According to Kamco Invest, global equity markets declined during June as the initial impact of the war was reflected in higher inflation and hawkish central bank signals, while geopolitical issues between Ukraine and Russia escalated.
Negative global sentiment also affected GCC markets’ performance during June, with the MSCI GCC index sliding by 1.6 percent, nearly wiping out all the gains since the start of the year.
“In addition, an acute regional geopolitical uncertainty tied to the US-Iran conflict and the Strait of Hormuz disruption added to the overall downward pressure on regional stocks. The decline was mainly seen in large-cap sectors including Real Estate, Materials, Banks and Energy, while defensive names in Utilities and Telecom sectors partially offset the overall decline,” said Kamco Invest.
