The Saudi Tadawul index lost 19.6% in value in the two weeks following the unrest in Bahrain; however, it recovered all the losses which were helped also by the increase in oil prices. The index gained 24% from its lowest level on the end of February. The Tadawul is down 0.39% YTD.
Oil prices, which increased 17% since Feb 14th at the time Bahrain saw some protests, positively affected the petrochemicals sector, increasing its value by 29%.
Below is a YTD chart of both the Tadawul and the petrochemical index; the petrochemical index crossed to the positive zone for the year. However, on a case to case basis not all petrochemical stocks are positive for the year thus this might potentially trigger a catch-up play.
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