Saudi Stocks Take A Hit In Reaction To Riyadh’s Illegal War In Syria

Saudi stocks plunge to 13-month low



Saudi Gazette report
RIYADH – Saudi Arabia’s stock market plunged 4.32 percent to a 13-month low on Saturday, closing at 7,294.38, with its biggest listed companies losing value.

Only one of the 156 companies listed on the Tadawul All-Share Index, the food-manufacturer Herfy, gained ground. All 155 others fell. Al Rajhi Bank, the largest Saudi lender by market value, fell the most since March, while Etihad Etisalat Co. (EEC), known as Mobily, slid the most since November 2012.

Saudi Basic Industries Corp. (Sabic), the world’s biggest petrochemical maker, fell to the lowest level since May 19.

Al Rajhi slid 4.2 percent to SR69, while Mobily lost 4.4 percent to 76.75 riyals. Sabic dropped 4 percent to 90 riyals.

“The Saudi market is being pressured today mainly due to the escalating geopolitical tensions in the region,” Turki Fadaak, head of research and consultancy at Albilad Investment Co., was quoted as saying by Bloomberg.

US crude hit a nine-month intraday high on Friday, after news that the United States had authorized sending weapons to Syrian rebels led to concerns about Middle East supplies.

US stocks fell on Friday on low volume to end their third negative week in four on lingering concern over whether the world’s central banks will soon start to trim their stimulus programs.