Saudi Stocks End Sunday in the Green; Zahrat Al Waha for Trading Shines

A new week of trading in Saudi Arabia ended with the Tadawul All Share Index 0.17% higher at closing at 12,373.11 points. 

Saudi Exchange data showed that out of 234 listed stocks, 129 were in the red and 92 in the green. Zahrat Al Waha for Trading (SASE:3007) was the top stock of the Sunday session as it added 9.97%, while Gulf Insurance Group (SASE:8250) lost 9.94%, the steepest of the index. 

Also of note was the latest Riyad Bank Saudi Arabia Purchasing Managers’ Index, which stood at 57.0 in April, compared with 57 in March. 

"With a persistent emphasis on growth and development in the non-oil sector, the Saudi PMI's consistent performance underscores a promising outlook. The sustained expansion, coupled with evolving market dynamics, underscores a favorable environment for continued economic prosperity and stability in Saudi Arabia's non-oil economy," Riyad Bank's Chief Economist Naif Al-Ghaith said.

Global markets ended the previous week on an upbeat note as the latest US jobs data pointed towards a cooling in the employment market, which helped revive expectations of a rate cut in September for the world's biggest economy. 

"Job creation was weaker, unemployment higher and wage growth more subdued than expected in the April employment report. With Fed Chair Powell leaning dovish at Wednesday’s press conference this has breathed new life into Federal Reserve interest rate cut calls," ING said in a note. 

In the week ahead, Saudi's General Authority for Statistics is scheduled to release the Industrial Production Index for March on Thursday. 

On the corporate front, Saudi Tadawul Group Holding (SASE:1111) shares increased 0.61% as it reported higher results in the first quarter of 2024, attributing the net profit increase to higher operating revenues, expenditures, EPS, gross profit, and operational profit.

Meanwhile, Ades Holding (SASE:2382) signed a 21-month deal with Suez Oil Co. for jackup drilling in the Gulf of Suez. Shares of the Saudi offshore and onshore drilling services company closed 0.60% lower.