Saudi Arabia Shares Fall on Concern Gains Overdone, Earnings - BusinessWeek

Saudi Arabia shares retreated for the first time in three days on concern recent gains are overdone given growth prospects in the region and as companies posted declines in second-quarter profit.

The Tadawul All Share Index lost 0.4 percent to 6,215.67 at 1:06 p.m. in Riyadh. The index has advanced 2 percent this month. Saudi British Bank slid after reporting a 34 percent drop in second-quarter profit and Saudi Industrial Exports Co., the company that exports and imports products including fertilizers and chemicals, decreased 3.8 percent. The Bloomberg GCC 200 Index declined 0.04 percent to 53.47.

“We’re seeing a bit of a pullback” on a lack of positive local catalysts, said Haissam Arabi, chief executive officer of Gulfmena Alternative Investments in Dubai. Gulf shares are “still reacting to the direction of global markets.”