Tadawul Review: 

Tadawul All Share Index (TASI) fell on Monday, dropping by 13 points (-0.1%) to close at 12,373. The trading session began positively, with a 2-point increase compared to the previous close. It maintained its positive rise, but an hour before closing, it dropped significantly to close in the red zone. Overall, 16 out of 21 sectors closed in the red zone, while 147 shares fell and 91 rose. Banks (-0.4%), Materials (-0.3%), and Media (-2.6%) sectors contributed the most to the index fall. Stockwise, Al Rajhi Bank (-0.5%), Aramco (-0.4%), and Maaden (-2.1%) were the major contributors. The trading activity witnessed a decrease in volume of -37% to reach ‎‎455mn while the value increased by 41% to reach SAR7.1bn ‎value traded.

 

 

Market Wrap International:

On Monday, U.S. tech stocks slid amid a larger market selloff, as the launch of a new, budget-friendly AI model by Chinese company DeepSeek sparked concerns about increased competition in the booming AI tech sector. The Dow Jones Industrial climbed by 0.7%, while the S&P 500 fell by -1.5%, and the NASDAQ dropped by -3.1%.

European shares weakened as the technology sector retreated alongside other markets, following concerns that China’s upgraded low-cost AI model could hurt the profits of rivals and increase the demand for expensive chips. The FTSE 100 increased by 0.02%, while the DAX fell -0.5%, the Euro STOXX 600 dropped -0.1%, and the CAC 40 slipped by -0.3%.

Japanese chip stocks fell on Monday, as DeepSeek, a Chinese AI startup, emerged as a potential rival to the U.S.’s dominance in AI, raising concerns about its impact on Asian tech firms tied to the U.S. AI ecosystem. Key indices such as the TOPIX gained 0.3%, and the Hang Seng rose by 0.7%. In contrast, the SHCOMP fell by -0.1%, and the NIKKEI 225 dropped by -0.9%.