Friday 30 September 2022

Saudi, Egypt rise alongside global markets

DUBAI, September 3, 2015

Stock markets in Saudi Arabia and Egypt rose in early trade on Thursday, tracking global bourses as oil prices, which had moved Middle Eastern equities earlier in the week, were relatively stable.

The main Saudi equity index gained 0.7 per cent with most stocks positive. The banking sector, up just as much, was one of the main supports.

National Commercial Bank, the kingdom's largest lender, jumped 2.0 per cent and Al Rajhi, another large bank, was up 0.7 per cent.

Growth in Saudi Arabia's non-oil private sector rose to a five-month high in August, buoyed by the impact of increasing oil production, a survey of businesses showed on Thursday.

Egypt's main stock index climbed 1.2 per cent after the country's own purchasing managers' survey showed activity grew in August at the fastest pace of 2015 on the back of solid growth in output.

"This ... could be the first sign that the (Egyptian) economy has turned the corner after a weak first half of 2015," Jason Tuvey, the Middle East economist at Capital Economics in London, said in a note.

"This, coupled with July's sharp drop in the headline rate of inflation, supports our view that the central bank will cut interest rates, possibly as soon as its next meeting later this month." – Reuters

Tags: Egypt | Saudi | stock market |

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