Mideast stocks were mostly mixed in early trade on Tuesday, while Saudi Arabia’s stock market rose on optimism over its inclusion in the emerging market indexes.
The Saudi index rose 0.9 per cent to its highest level since August 2015 as investors are expecting FTSE to upgrade Riyadh to secondary emerging market status.
FTSE will make the announcement later on Tuesday, reports Reuters.
The reports said that the investors were bullish on Saudi stocks, all sectors included, as they expect billions of dollars to pour into the market after the upgrade.
Energy and petrochemical sectors rose with petrochemical company PetroRabigh gaining 1.2 per cent and Saudi Kayan Petrochemical Company rising 0.70 per cent.
Yanbu Cement jumped 4.3 per cent to 33.90 riyals as it signed an agreement to export 1.0 million tonnes of clinker and half a million tonnes of cement for one year starting in April.
Al Rajhi Bank, which has been one of the main beneficiaries of foreign money in anticipation of Riyadh’s expected entry onto emerging market indexes, was up 1.5 per cent. The biggest listed Saudi bank, National Commercial Bank, also climbed 1.0 per cent.
In Dubai, the main index lost 0.50 per cent as real estate firm Deyaar fell 3.1 per cent and DXB Entertainments plunged again 3.5 per cent after reporting a 1.12 billion dirham ($305 million) loss for last year.
The Abu Dhabi stock index was 0.4 per cent down as the blue chips were flat to down in heavy trades.
The Qatari index rebounded 0.2 per cent although it was held back Qatar International Islamic Bank which plunged 6.8 per cent as it announced going ex-dividend.
Qatar National Bank,the Middle East’s biggest bank, gained 0.6 per cent in early trade and Masraf Al Rayan also edged up 0.7 per cent.