Qatar’s stock market ups to test technical barrier, Saudi petchems fall

Big 5

Qatar’s stock market jumped in morning trade on Wednesday on the back of banks, causing its main index to test technical resistance, while Saudi Arabia edged down as petrochemical firms fell.

The Qatari index surged 1.4 percent to 9,975 points, testing technical resistance at 10,003-10,028 points, where the market peaked in August and September.

Qatar National Bank rose 2.3 percent after its chief executive said on Monday that the company had no funding needs at the moment and that its U.S. dollar liquidity was “excellent”.

Petrochemical and metals blue chip Industries Qatar was also strong, adding 1.9 percent.

Saudi Arabia’s index was 0.2 percent lower after an hour as top petrochemical producer Saudi Basic Industries dipped 0.7 percent and National Industrialisation Company shed 0.9 percent.

But Bawan Co, which has been trading at record lows, rose 5.5 percent after its unit signed an agreement to supply Saudi Electricity Co with substations for 269.8 million riyals ($71.9 million). The company said the financial impact of the deal would appear in the first half of 2019.

Saudi Industrial Export jumped 10 percent in light trade after approving a capital increase through a rights offer. The rights issue will begin trading on October 15.

In Dubai, the index was lifted 0.3 percent by real estate stocks; Emaar Properties gained 0.4 percent.

Ajman Bank fell 1.3 percent as trading in its rights issue began, while Dubai Islamic Bank added 0.2 percent after its third-quarter profit rose 10.8 percent, in line with analysts’ estimates.

Source: Reuters