Financial sector weighs on Saudi index, Qatar hits 3-month high

(MENAFN) Saudi Arabia’s stock index closed lower on Sunday, mainly due to losses in the financial sector, despite positive results from Saudi Aramco after signing significant contracts. The index fell 0.4 percent, marking its first monthly gain after three consecutive months of losses. Notably, Al Rajhi Investment Banking Company and Saudi National Bank recorded declines of 1.8 percent and 1.2 percent, respectively. However, Saudi Aramco shares rose 0.7 percent following announcements of expansion at the Jafoura field and major gas network projects.

New entrants to the Saudi stock exchange, such as Al-Tayseer Talco Industrial Group and Modern Flour Mills Company, posted significant gains of 9.9% each, which positively impacted the index’s performance. According to data from the London Stock Exchange Group, despite a 1.8% gain in June, the index fell 5.6% in the second quarter.

Meanwhile, Qatar’s stock index hit a three-month high, rising 0.1 percent despite mixed performances in shares. Industrials and financials supported the index, with Qatar National Bank, the Gulf’s largest bank, and Industries Qatar rising 0.3 percent and 0.6 percent respectively. The Qatar index has posted gains in all 18 sessions this month, rising 6.9 percent in June alone, its biggest monthly gain of the year, according to the London Stock Exchange Group.

The different performance of the Saudi and Qatari markets reflects different sectoral influences and investor sentiment, highlighting the resilience and dynamism of the Gulf financial markets in the face of global economic volatility.

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