Tadawul Review: 

Tadawul All Share Index (TASI) ended the first day of January 2024 with a significant gain on Thursday, up by +118 points (+1.0%) to close at the 11,914 level. TASI opened the session on a negative note but then started to rise gradually throughout the session until the end. In general, 10 out of 20 sectors closed in the green zone, while 89 rose and 131 fell.  Banks (+1.5%), Energy (+1.3%), and Telecom (+1.7%) sectors contributed the most to the index rise. Stockwise, Al Rajhi Bank (+2.4%), Aramco (+1.3%), and Saudi National Bank (+1.4%) were the major contributors. The trading activity witnessed an increase in volume by 28% to reach 363mn shares while the value declined by  -5% to reach SAR8.2bn in value traded.

 

 

 

Market Wrap International:

In the U.S., the S&P 500 ended the day with a gains of +1.1%, registereing an all-time closing high as with 6 out of 11 sectors rising.  Investors, who were hopeful for potential rate cuts by the Federal Reserve, received a sobering reminder of the central bank's priority to combat inflation. Chairman Jerome Powell's remarks dampened expectations of policymakers lowering borrowing costs in March. Similarly, the Nasdaq composite also followed a positive trajectory, closing the day with a rise of 1.7%.

In Europe, the Bank of England's decision to keep the interest rate unchanged, following the pattern set by the Fed, had an impact on the markets. The Stoxx Europe 600 index saw a minimal increase of 0.01%. Meanwhile, the FTSE 100 index closed with a decrease of -0.1% as investors analyzed the Euro zone inflation data, which met the expected figures.

In Asia, Investor sentiment was buoyed as the Hang Seng Index experienced a fall by -0.2%, and the Shanghai Composite Index fell by -1.5% while government officials' reassurances of continued fiscal expansion to fuel economic recovery. In Japan, the TOPIX index rose by 0.2%, and the Nikkei 225 managed a modest gain of 0.4%.