Tadawul index falls 1.1%; SABIC shares drop 1.8%
JEDDAH: Shares in the Gulf fell in a broad sell-off on Monday as investors booked profits after a dip in oil prices. Egypt was lower as foreign funds exited positions.
Saudi Arabia’s Tadawul Al-Share Index lost 1.1 percent, its lowest close since April 11, before the Kingdom announced plans to diversify away from hydrocarbon dollars. Eighty-eight percent of the shares closed down.
Petrochemical shares were the main drag with Saudi Basic Industries Corp, the largest listed producer, dropping 1.8 percent, taking its losses to 3.0 percent since Brent prices fell back below $50 a barrel.
Banking shares failed to hold onto earlier gains, with the sub-index edging down 0.4 percent. Banque Saudi Fransi fell 2.5 percent, its sixth session of losses out of the last seven.
Elsewhere, Dubai’s index fell 1.6 percent, ending five session of gains as investors lacked impetus to build further positions.
Emaar Properties lost 2.2 percent and Dubai Islamic Bank, which was a top gainer on Sunday, slumped 4.1 percent.
Abu Dhabi’s index erased earlier gains and dropped 0.9 percent in the heaviest volumes in seven weeks. Abu Dhabi Islamic Bank and First Gulf Bank, whose combined market value is a fifth of the total market, fell 1.1 and 2.0 percent respectively.
Qatar’s index dropped 1.3 percent to close at a 3 1/2month low. Oil-linked shares Gulf International Services and Qatar Gas Transport fell 3.4 and 1.9 percent.
In Egypt, the main index edged down 0.4 percent, as foreigners exited positions, stock exchange data showed. Last week, international investors were net buyers of Egyptian shares.
Real-estate development stocks were the main drag, with Amer Group Holding and Porto Group Holding slumping 5.9 and 3.5 percent.
But investment firm Pioneers Holding added 0.8 percent after the company reported a 46.9 percent rise in first-quarter profit of 354.5 million Egyptian pounds ($39.92 million).