Sunday 7 May 2023

#Saudi bourse jumps on earnings; Egypt extends losses | Reuters

Saudi bourse jumps on earnings; Egypt extends losses | Reuters


Saudi Arabia's stock market ended higher on Sunday boosted by a slew of strong earnings, although the Egyptian bourse extended losses.

Saudi Arabia's benchmark index (.TASI) gained 1.2%, buoyed by a 6% jump in Saudi British Bank (1060.SE), its biggest intraday gain since Dec. 2021, following a steep rise in first-quarter earnings.

The lender reported a quarterly net profit of 1.77 billion riyals ($471.99 million) up from 1 billion riyals year ago.

Among other gainers, oil giant Saudi Aramco (2222.SE) advanced 2%.

Oil prices - a key catalyst for the Gulf's financial markets - jumped on Friday on signs of economic strength, but registered their third weekly decline in a row.

The kingdom's economy grew by 3.9% year-on-year in the first quarter of 2023, according to initial government estimates of real gross domestic product published on Sunday.

In Qatar, the index (.QSI) added 0.3%, with Qatar Islamic Bank (QISB.QA) climbing 2.7%.

However, the index's gains were limited by a 1.1% fall in petrochemical maker Industries Qatar (IQCD.QA) ahead of its earnings announcement.

MSCI's gauge of stocks across the globe (.MIWD00000PUS) closed 1.43% higher on Friday as strong U.S. jobs data brightened the economic outlook and traders pared expectations of Federal Reserve easing after a long spate of rate hikes.

Outside the Gulf, Egypt's blue-chip index (.EGX30) fell 0.4%, falling for a fifth consecutive session, with tobacco monopoly Eastern Company (EAST.CA) losing 1.8%.

Fitch downgraded Egypt to 'B' on Saturday with the outlook as negative. The ratings agency said external financial risk has increased.

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