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Saudi Stocks Return to Previous Levels

Saudi Stocks Return to Previous Levels

Tuesday, 20 September, 2022 - 08:00
The Saudi stock market ends Monday's trading session with a decline (AFP)

The main Saudi Stock Exchange (Tadawul) continued its sharp decline, dropping 1.1 percent, closing Monday at 11,446 points, with a loss of 126 points, touching its lowest level in nearly two months.

This week, the Saudi stock market was affected by developments in the global markets and stock exchanges, which are still awaiting the results of the meetings of international central banks.

The Federal Reserve is likely to raise US borrowing costs faster and further than previously expected after data on Tuesday showed underlying inflation broadening out rather than cooling as expected. The meetings of the banks of Japan and England will follow.

A change in interest rates will impact the market, the attractiveness of liquidity, and the level of safety of financial investments, while inflation and stagnation continue to impact the global economy.

Trades amounting to $1.2 billion during Monday's trading, with the total losses of Tadawul All Share Index (TASI) exceeding 800 points, or 6.8 percent, since the beginning of September.

The major stocks that impacted the main index contributed to the current declines, as the shares of Saudi Aramco, al-Rajhi Bank, and SABIC fell about one percent, while the Saudi al-Ahly stock closed down by three percent.

The Saudi Parallel Market (Nomu) closed down 355.57 points, reaching 20230.26 points, with transactions worth SR28.2 million, and the volume of traded shares amounted to more than 310 thousand shares shared by 2159 deals.

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