Sunday 24 June 2018

Saudi bourse up, driven by petchems

Riyadh, April 3, 2010

Petrochemical stocks, led by heavyweight Saudi Basic Industries Corp (Sabic), and higher oil prices drove Saudi stocks to a higher close on Saturday.

Sabic shares closed 1.5 per cent higher after the company says that it started commercial production at a 2.8 million tonne expansion.

The petrochemicals index gained 0.8 per cent to 6,128 points while the all-share benchmark added 0.4 per cent to 6,827 points.

US crude oil futures closed the trading week with a fourth straight session on Thursday, settling at $85.20 a barrel.

'The local market sentiments are buoyed by expectations of good quarterly earnings and continuous surge on oil prices that moved quickly to trade above $85,' said Mohammed Ishaq Ali, fund manager at al-Rajhi Capital.

Saudi Arabian Mining Co (Maaden) closed 0.3 percent lower having recorded gains earlier in the session after announcing that Alcoa cut its stake in a planned $10.8 billion aluminium complex in the kingdom by more than a third.

'The market will take this news with a pinch of salt in the near term. The market will look forward to Maaden's plan to substitute them,' Al added. – Reuters

Tags: sabic | Oil | Riyadh | petrochemicals | Saudi bourse | Aloca |

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