Saudi and Dubai bourses close higher

Saudi Arabia’s stock market rose yesterday, boosted by its bank shares, while Egypt’s index was lifted by its bluechip stocks, mirroring a gain in emerging markets.

The Saudi index rose 0.7 per cent to 8,406 points with Banque Saudi Fransi rising 5.2 per cent. Riyad Bank continued to rise, adding 4.5 per cent.

NCB shed 0.4 per cent. The Saudi market, which will become part of the MSCI emerging market benchmark this year, has started the year on a positive note, rising 7.6 per cent so far.

Saudi exchange data released on Sunday showed foreigners were net buyers of 1.03 billion Saudi riyals of stocks last week, up from the 134.3 million riyals of stocks foreigners bought the week before.

Most cement stocks also gained, with Tabuk Cement increasing 4.8 per cent after announcing that it had exported 6,950 tonnes of cement to Yemen under a preliminary agreement with International Tataloat.

In Dubai, the index gained 0.4 per cent, lifted partly by gains in Emirates NBD, its largest bank.

Emirates gained 1.1 per cent after reporting a 10 per cent rise in its fourth-quarter net profit as loan growth and improved margins offset lower income from investment securities and higher expenses.

GFH Financial Group, whose primary listing is on the Bahrain stock exchange, added 2.4 per cent after announcing it had acquired Westside Office Business Park in the UK. It said it would invest up to £39.2m. Developer Damac Properties dropped 2.3 per cent.

The Abu Dhabi index was flat although Dana Gas added 5 per cent but trading was suspended after an hour ahead of a board meeting called to discuss its operations in Egypt, UAE and the Kurdish region of Iraq.

It did not announce the results of the meeting, and trading was suspended until market close. First Abu Dhabi Bank, the UAE’s largest lender, slipped 0.4 per cent.

The Egyptian blue-chip index added 0.5 per cent to 13,510 points, with its biggest lender Commercial International Bank rising 3.4 per cent. The Financial Regulatory Authority said it was considering the bank’s request to increase its authorised capital to 50bn Egyptian pounds from 20bn pounds.

In Kuwait, the index was down 0.1 per cent to 5,468 points, while Bahrain’s was flat at 1,340 points.