Abu Dhabi: Saudi Arabia’s Tadawul All Share Index (TASI) gained 0.69 per cent on Sunday to reach 6,843.78 after the market saw large gains in the past few weeks fuelled by strong buying.
“Saudi’s 13 per cent monthly gain is causing a growing number of analysts to question he sustainability of such a move especially since it is completely uncorrelated to the price of oil, which would be a screaming red flag just in itself,” said a weekly market report by Al Masah Capital, an asset management and advisory firm.
But it’s not just Saudi where investors seem to have already looked past the upcoming Opec (Organisation of Petroleum Exporting Countries) meeting in Vienna on November 30. In the UAE, Qatar, and Bahrain, the main bourse indexes were all up.
Qatar’s QE index was 0.2 per cent higher on Sunday to reach 9,734.18, while the Bahrain all share index was up 0.86 per cent.
“If Opec manages to find an output deal, then the Saudi rally will have further legs, but if nothing comes out of the Vienna meeting, then that would constitute the perfect reason to book profits and move to the sidelines,” Al Masah said in its report.