Saudi bourse up with inflows expected

Saudi Arabia’s bourse inched up 0.1 per cent to 7,812 points yesterday, with Riyad Bank rising 1.1 per cent and Arabian Cement increasing 6.5 per cent despite posting a drop in its third-quarter profit.

Saudi Vitrified Clay Pipe jumped 8.3 per cent after reporting a 23 per cent gain in profit for its third quarter and Al Khaleej Training and Education gained 5.5 per cent after its revenue for the same period rose.

Foreigners sold a net 89.2 million riyals in the Saudi stock market in the week ended November 1, a sharp drop from the previous two weeks.

The reduction suggested that despite volatility many fund managers expect inflows into Saudi Arabia next year, when Riyadh’s market joins emerging market indexes.

In Dubai, the index rose 0.7 per cent to 2,816 points, with Emirates NBD rising 2.1 per cent and Emaar Malls increasing 4.4 per cent.

Contractor Arabtec jumped 8.1 per cent after appointing US-based Moelis & Company to assist with a debt restructuring.

But DXB Entertainments lost 1.9 per cent after posting a drop in third-quarter revenue.

Abu Dhabi’s index reversed course to add 0.6 per cent to close at 5,004 points, with First Abu Dhabi Bank rising 1.4 per cent, while Commercial Bank International soared 15 per cent in light trade.

The merger of Abu Dhabi Commercial Bank, Union National Bank and Al Hilal Bank is at an early stage, the UAE Central Bank Governor said yesterday.

The three banks are in talks for a deal that could form a lender with a total of $113 billion in assets.

Abu Dhabi Commercial Bank was down 0.9 per cent.

Egypt’s blue-chip index rose, boosted by its real estate and industrial shares.

Twenty-five of 30 stocks on the Egyptian blue-chip index gained, sending the index up 1.5 per cent to 13,436 points. The broader EGX 100 index rose 2.6 per cent.

Emaar Misr For Development rose 2.2 per cent after reporting a 37.2 per cent increase in third-quarter profit.

Oil prices fell after Washington granted sanctions exemptions to top buyers of Iranian oil, lifting supply concerns and turning the market’s focus to worries that an economic slowdown may curb fuel demand.