Tadawul Review:

Tadawul All-Share Index (TASI) declined on Thursday, ‎dropping 91 points (-0.8%) to close at 11,439 levels. The ‎decline in the TASI on Thursday was due to the volatility in ‎the major global markets following the decisions of the ‎Federal Reserve Bank to raise the interest rate by 75 basis ‎points and the decline in Brent Oil prices. Thursday's session ‎witnessed sharp fluctuations, as the index started the session ‎negatively, declining -67 points, and trading continued in a ‎range of 94 points throughout the day. In general, 11 of the ‎‎20 sectors closed in the red zone, while 115 stocks rose and ‎‎88 fell. The decline was led by Banks (-1.1%), followed by ‎Materials (-0.7%) and Utilities (-2.2%) sectors, which ‎contributed to the decline of the index by a total of 66 ‎points. Among stocks, Al Rajhi Bank (-1.6%), followed by ‎ACWA Power (-2.9%), and Alinma Bank (-2.6%) pulled the ‎index down the most. Trading activity also witnessed a ‎decline in volume and value by 30% for both, to reach 139mn ‎shares and SAR4.9bn‏.‏‎ A strong rebound in oil prices and ‎positive close of international market may prompt TASI to ‎recover some of the lost ground.‎

 

 

Market Wrap International:

The global equity indices made a recovery on Friday partially ‎paring losses suffered this week in the wake of ‎announcements of policy decisions by BoE and Fed. However, ‎the gains on Friday came amid intraday volatility led by ‎marginal positive economic data in the U.S. The treasury ‎continued rising with 10-year U.S bond trading at 4.16% ‎‎(+5bps) while U.S Dollar Index retreated with positive impact ‎on Euro and Pound. In the U.S, all three indices surged by ‎‏1.3‏‎-‎‏1.4‏‎% led by energy. The latest job market reported has turned ‎out to be marginal positive for the market despite job-‎additions coming ahead of street estimates.‎

In Europe, the Stoxx Euro 600 Index jumped ‎‏1.8‏‎%, following ‎losses a day before on BoE announcement of jumbo rate hike ‎of 75bps.  Higher energy prices and positive economic report ‎in the U.S provided much-needed excitement to the investors. ‎The bond yields in U.K dropped on Friday while regional ‎currency recovered losses. Country level indices also showed ‎positive trends. ‎

In Asia, HangSeng in Hong Kong (+5.‎‏4‏‎%) and Shanghai ‎Composite (+2.4%) in China outperformed the other indices ‎for yet another session on chatters of potential easing in ‎current COVID-19 restrictions. The news report of early ‎completion of inspection of U.S listed stocks from Hong Kong ‎by U.S auditing firms. Other major equity indices also closed ‎higher on Friday except for equity indices in Japan (Nikkei :-‎‎1.7%) which came in for selling on reopening of market ‎following a national holiday on Thursday as nvestors digested ‎the latest policy decision by Fed and BoE. ‎