Saudi Arabia's market for initial public offers of shares has been the strongest in the Gulf for the last two years, and with the fifth new listing of 2012 coming up next week, analysts expect a bullish reception despite weak global equity markets.
A surge by Saudi Arabia's stock market early this year showed confidence in the local economy. The benchmark rallied 31 percent between November and April while daily trading turnover soared, hitting levels not seen since 2007, as investors shifted money from other asset classes.
Although the stock market has now dropped 14 percent from this year's peak, tracking recent weakness in global equities and oil prices, investors are still positive about corporate earnings growth in coming months, and this should support appetite for new listings.
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