Reports

2023-07-02

Daily Market Monitor 2-07-2023

Tadawul Review:

Tadawul All Share Index (TASI) closed with minor losses ahead of extended national holidays on account of Eid Al-Adha. The index dropped by -7 points (-0.1%) on Thursday to close at 11,459 levels. TASI opened the session on a slight negative note and then started riseing during the session, reaching its intraday high in the middle of the session by 28 points before declining until the end of the session. In general, ‎‎9 out of 20 sectors closed in the red zone, while 121 stocks fell and 93 rose. Food and beverages (-1.1%), Media (-3.9%), and Telecom (-0.6%) sectors contributed the most to the index's -13 point fall. Stockwise, Alinma Bank (-1.5%), Almarai (-2.3%), and Saudi Telecom (-0.8%) were the major contributors. The trading activity witnessed an increase in volume and value of 21% and 17%, respectively, to reach ‎‎235mn shares and SAR6.3bn in value traded.

 

 

Market Wrap International:

The global equity indices closed the month and 1H23 on a positive note on Friday. The better than expected economic data in the U.S, and continued expectations of a new economic stimulus package in China sustained the positive sentiment.   The economic data in the U.S was construed largely positive in the backdrop of ongoing debate on the need to resume rate hike cycle in 2H23. The Fed’s favorite inflation gauge, PCE, showed further signs of softening though the core reading remained sticky. Apple Inc, the US tech giant, surged ‎‎2.3% on Friday and became the first tech company to cross ‎‎3trn market capitalization. Other tech names also alongside consumer and utilities also added to market gains. The S&P ‎‎500 and Nasdaq Composite closed the session with 1.2% and ‎‎1.4% gains.

In Europe, the Stoxx Europe 600 Index rose on Friday by 1.2%. The country level indices advanced by 0.8-1.3%. The investors sidestepped concerns on ongoing violence in France and focused on the economic data in the U.S.

In Asia, major equity indices were mixed on Friday. The latest economic data in China (manufacturing activity) once again pointed to slowdown in economic activity and renewed calls for fresh economic stimulus measures. The Shanghai Composite recorded 0.6% on similar expectation while Hang Seng recouped intraday losses to close with minor change (-‎‎0.1%). Indices in India (SENSEX: +1.3%), Korea (KOSPI: +0.6%) closed positive while those of Taiwan (TAIEX: -0.2%) and Japan ‎‎(Topix: -0.3%) closed negative.

Daily Market Monitor 2-07-2023