Reports

2023-07-13

Daily Market Monitor 13-07-2023

Tadawul Review: 

The Tadawul All Share Index (TASI) rose for the second day on Wednesday’s session by 63 points (+0.5%), closing at ‎‎11,727 levels. TASI opened the session positively with 21 points and jumped to its intraday high of 94 points from the previous close in the first trading hour. However, Tasi continued the rest of the session with fluctuations. In general, ‎‎11 out of 20 sectors closed in the green zone, while 93 of 223 stocks rose and 115 fell. Banks (+1.2%), Retailing (+1.3%), and Energy (+0.3%) sectors contributed the most to the index's (+52 points) rise. Stock-wise, Saudi Fransi (+5.2%), Saudi National Bank (+1.5%), and Saudi Awwal Bank (+3.5%) were the major contributors. The trading volume activity increased by +25% DoD to reach 444mn shares and the trading value slightly Increase by 1% DoD to reach SAR7.8bn.

 

 

Market Wrap International:

The global equity markets celebrated the below expected CPI print in the U.S and the rally in tech names on earnings optimism. The much-awaited CPI print for June-23 in the U.S came in at 0.3% MoM, broadly in line with estimate. However, the core inflation of 0.2% MoM surprised the consensus estimate of 0.3% on the downside. The market showed a sharp reaction as deceleration in inflation has strengthened the case for a complete pause on the Fed rate hiking cycle after this month’s meeting (due on 23rd July). The bond yields in the U.S dropped by 8-15bps while key equity gauges jumped 0.7-1.2%. 9 out of eleven listed sectors on the S&P 500 Index were in green.

In Europe, the Stoxx Europe 600 Index partially pared the intraday gains to close with 1.5% gain. The optimism on upcoming earning season pushed the index higher with mining and tech names leading the charge. The country level indices too were buoyant and jumped 1.5-1.8%.

In Asia, the major indices closed higher by 1.1-0.4% on Wednesday driven by positive economic data in China and optimism on upcoming earnings season. Hang Seng in China was the major outperformer in the region. Equity indices in Japan however weakened by 0.7-0.8% on Yen appreciation.

 

Daily Market Monitor 13-07-2023