Saudi falls sharply in pre-Eid profit-taking
Riyadh, October 6, 2013
Saudi Arabia's market fell sharply on Sunday but traders said the drop was due to a burst of profit-taking before Eid holidays, rather than a response to any bad news.
The Saudi market will be closed for Eid next week, which may be a period of intense political risk in the US ahead of the October 17 deadline for Congress to raise the debt ceiling.
The index sank 1.3 per cent to 7,911 points, after hitting an intra-day low of 7,885. It has minor technical support around 7,900 points, which acted as resistance in mid-September.
"I think it's just a pre-Haj sell-off by the traders. It has nothing to do with any other events," says John Sfakianakis, chief investment strategist at MASIC in Riyadh.-Reuters