Tadawul Review:
Tadawul All Share Index (TASI) rose for the second day on Tuesday’s session, up by 109 points (+1.0) to close at 10,731 levels. TASI opened the session on a positive note +4 points and continued rising gradually throughout the session until the end. Overall, 18 out of 20 sectors closed in the green zone, while 163 shares rose and 57 fell. Banks (+1.4%), Food and beverage (+0.7%), and Utilities (+2.5%) sectors contributed the most to the index rising. Stockwise, Saudi National Bank (+2.7%), ACWA Power (+3.4%), and Al Rajhi Bank (+1.1%) were the major contributors. The trading activity witnessed an increase in volume and value of +16% and +4%, respectively, to reach 208 shares and SAR5.3bn in value traded.
For the global equity markets, with a busy schedule of third-quarter earnings, economic updates, and speeches from policymakers this week, the prevailing sentiment continues to be influenced by the fluctuating concerns surrounding the tense conflict in the Middle East. The S&P 500 edged lower by -0.01%, with four of eleven listed sectors falling, and the Nasdaq Composite fell by -0.3%. The yields on 2–10-year tenures changed by 4.8–5.2 bps.
In Europe, the stocks remained relatively stable as investors' anxieties were tentatively eased by ongoing diplomatic initiatives, notably the scheduled visit of Joe Biden to Israel this week. The Stoxx Europe 600 was lower by -0.1% with a retreat in crude oil, gold, Treasury bond prices, and the dollar. In the UK, the FTSE-100 index closed up by +0.6 %, and the country-level indices closed at +0.1%
In Asia, the stocks made gains, putting an end to a two-day decline driven by a notable rally in technology shares. Chinese stocks climbed (Shanghai Composite: +0.3%, Hang Seng: +0.8%) as China has told state-owned banks to roll over existing local government debt with longer-term loans at lower interest rates. The benchmarks in Japan were (Topix: +0.8%, Nikkei 225: +1.2%), while the other country indices moved in a range of -0.1%|+1.0%.