Foreign Investments in Saudi Stock Market Reach New Record High
Total ownership of foreign investors in the Saudi stock market reached a new record high, reflecting the attractiveness of the capital market.
It stood at 9.25 percent after foreign investors pumping SAR1.27 billion (USD338.6 million) into the Kingdom.
The new record coincided with forecasts that foreign investment averages in Saudi Stock Exchange (Tadawul) would leap to 10 percent during the coming weeks.
Investments by non-founding foreigners rose last week to 6.4 percent of the total market compared to 6.3 percent at the end of the previous week.
This resulted from net purchases worth around SAR1.27 billion (USD338.6 million).
By this, investments by non-founding foreigners reached a record level in which the total ownership increased during the past week by 0.11 percent to reach 9.2 percent.
Regarding the performance of the stock exchange, the local shares market index dropped by around 0.9 percent. This was influenced by profit gaining operations that contributed to the decline in listed firms' prices.
The stock exchange index witnessed on Monday a drop of 69 points, closing at 7,833 points, amid trading worth around SAR2.2 billion (USD586.6 million).
In a related matter, Tadawul announced Monday that shares of Baazeem Trading Company will be listed and traded in the main market in the consumer goods sector starting Wednesday.
Tadawul said the daily fluctuation per share would be 10 percent. Baazeem Trading Company is the fifth company to move from the Saudi Parallel Market (Nomu) to the main market.