Riyad Bank Tadwaul Index
Riyad Bank Weekly Economic Briefing
Saudi Tadwaul index
Saudi Market Alert
With compliments. This week's commentary, "What's Real in the Dubai Real Estate Market" takes a look at the strengths and key drivers of the Dubai real estate market's stupendous rise in the past three years. Next week, we will look at the weaknesses in the market and what it means for Saudi investors.
Saudi Market Alert:
TheSaudi Tadwaul index dropped 534 points today, one of the biggest daily point drops ever. Coming after five days of triple-digit drops, this is beginning to shape up to be a second correction (or crash, if you want) in the Saudi stock market this year. The Tadawul index has been set back to where it was in mid-February 2005. Nine companies hit the 10% daily trading limit (meaning that the drop would have been greater if the limit wasn't there), and 43 companies dropped by over 9%. The biggest losers today included Al Rajhi, Al Bilad, SARCO, Gas&Industrialization, and Qassim cement. Notab;y, the market dropped to a low of 8,613 before a "last-minute" push raised it to 8,793. Potential for further drops exist over the coming days, although, it offers opportunities for bottom-fishers to step in.
Khan H. Zahid, Ph.D.
Chief Economist and Vice President
P.O. Box 22622
Riyadh 11416, Saudi Arabia
Tel: (966-1) 401-3030 x. 2534
Fax: (966-1) 401-3030 x. 2159
Riyad Bank Weekly Economic BriefingAttachments: WEB20061104.pdf Size: 113958 bytes.
Khan Zahid email@example.com
Sat, 4 Nov 2006