Saudi Shares Decline on Oil, Led By Sabic, Herfy Food Services

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Saudi Arabian shares fell the most in two weeks, led by Saudi Basic Industries Corp., as oil prices dropped to a seven-week low and European stocks fell for a fourth consecutive week.

Saudi Basic, or Sabic, fell 2.3 percent to 85.5 riyals, the biggest decline since Nov. 3. Herfy Food Services Co., the kingdom’s largest fast-food chain, which started trading Feb. 2, dropped 2.6 percent to 56.5 riyals. The Tadawul All Share Index fell 1.05 percent to 6,215.71.

Crude oil fell to a seven-week low yesterday, as the dollar surged on speculation European efforts to cut deficits will curb growth, prompting investors to sell commodities. European stocks declined for a fourth week, the longest losing streak since July, on concern efforts by Greece, Portugal and Spain to reduce their deficits will hurt the region’s economic recovery.