Dubai: Saudi stocks may witness at continued losses after its recent bull run.
The Tadawul index fell as much as 4 per cent on Tuesday, before closing 2.09 per cent lower at 6,492.86. The index has gained 22 per cent since October 18.
“We had a good rally in Saudi [Arabia], so I’m not surprised that profit-taking is beginning. We are heading to a little bit of uncertainty about if Opec will be able to cut production. Markets would be a little bit vulnerable in coming lower,” said Saleem Khokhar, head of equities at National Bank of Abu Dhabi’s asset management group.
The oil producers’ group are expected to meet on November 30 to discuss on an output cut to prop up prices.
In Dubai, Gulf Finance House (GFH) was the most active stock in Dubai again a day after the company reported its third quarter results.
GFH closed 1.27 per cent higher at Dh1.60, while Amanat fell more than 3 per cent to be at Dh0.923. Out of a total of 33 stocks traded on the exchange, shares of 15 firms fell, while other 14 firms rose. The rest remained steady. The Abu Dhabi general index closed 0.10 per cent lower at 4,180.83.
Expensive Egypt:
“The Egyptian currency should have had stabilised or strengthened even. The valuations of underlying stocks are a little expensive, so one has to be careful of entering Egyptian stocks at this point,” Khokhar said.
The Egyptian EGX 30 index closed 0.50 per cent lower at 10,640.57, continuing its losing streak for a third session.
Elsewhere in the Gulf, the Qatar exchange index closed 0.67 per cent lower at 9,679.92, while the Muscat Securities MSM 30 index closed 1.20 per cent higher at 5,481.97. The Kuwait Stock Exchange index closed 0.40 per cent higher at 4,491.30. The Bahrain bourse all share index closed unchanged at 1,161.25.
