Dubai: Saudi stocks fell the most in the world on Tuesday, after reports that the country’s sovereign wealth fund may be selling stakes.
The Saudi Arabia’s Tadawul index closed 2.09 per cent lower at 6,492.86, after falling more than 4 per cent during the day. Shares of energy and food companies companies fell more than 2 per cent.
“Saudi took a hammering in trade due to PIF news, some stocks were even down 4-5 per cent,” said Saleem Khokhar, head of equities at National Bank of Abu Dhabi’s asset management group.
Saudi’s Public Investment Fund, which is worth about $100 billion (Dh367 billion), is reviewing the stakes as it seeks to diversify its assets, a report said.
Elsewhere in Dubai, trading activity and price movements was seen in select stocks like Dubai Entertainments, Arabtec and Dubai Financial Market.
“The MSCI classification resulted in the big moves,” Khokhar said.
Dubai Entertainments, which will be added to the MSCI emerging market index, closed 2.68 per cent higher at Dh1.53, while Arabtec and Dubai Financial Market shares, which will be excluded from the index, fell. Arabtec closed more than 4 per cent lower at Dh1.23, while DFM stock fell more than 1.5 per cent before closing flat. Drake and Scull closed 15 per cent high (the maximum limit increase for the day) at Dh0.506.
The Dubai Financial Market General Index closed 0.19 per cent lower at 3,196.62. The Abu Dhabi Securities Exchange General index closed almost unchanged at 4,180.83.
Elsewhere in the Gulf, the Qatar exchange index closed 0.67 per cent lower at 9,679.92. Muscat Securities MSM 30 index closed 1.20 per cent higher at 5,481.97.
