The Saudi stock market ended the month of April with a monthly increase of 6.77%, supported by the good performance of the sectors related to the local economy.
The main market index “TASI” rose by 717.8 points in April to end the month at 11307 points.
And “TASI” ended Sunday’s trading, up by 0.32%, after recording transactions worth 5.2 billion riyals for about 174.6 million shares.
The shares of 131 companies recorded an increase in their value in today’s session, while the shares of 76 companies out of a total of 224 companies declined.
Abdullah Al-Hamid, head of advice at GIB Capital, said that the Saudi stock market recorded a good performance in April, with gains of nearly 7%.
Al-Hamid explained, in an interview with Al-Arabiya, that the market index approached the bottom last March, following the banking crisis, and fell below 10,000 points.
Al-Hamid continued, that the main sectors in the market and related to the local economy witnessed a remarkable activity to support the stock market, such as the telecommunications sector, where the Saudi Telecom “STC” share increased by nearly 15%, and the “Mobily” share price increased by about 20% this month.
In a related context; The director of the Zad Consulting Center, Hussein Al-Raqeeb, said in an interview with Al-Arabiya that the Saudi market witnessed a gradual increase in liquidity volumes during the month of April, although it is known in advance that trading decreases in the month of Ramadan.
He added, “In the past three weeks, the average trading value reached 5.5 billion riyals, and this means that the market got rid of the negative effects related to interest rates.”
He stressed that the Saudi market benefits from the economic momentum in the Kingdom, especially with regard to new cities and the very high number of tourists, and the Umrah season, as the occupancy rates in the hotels of Makkah and Madinah during the Umrah season increased to 100%.
He said, “The market views the Saudi economy as a main driver. The net purchases of foreigners reached 1.2 billion riyals during the 3 weeks of April, and this reflects the confidence of foreign investors.”
