Banks hurt Saudi; Dubai continues to gain on Emaar

25 Jul, 2019

In Saudi Arabia, the index lost 0.4% with Al Rajhi Bank and National Commercial Bank falling 2.3% and 0.6% respectively.

Saudi Basic Industries Corp (SABIC), the world's fourth-biggest petrochemicals company, slid 0.2% after it halted negotiations with Clariant to form a new high performance materials company from the combined assets of the two companies.

Saudi Automotive Services declined 1.7%. The firm posted a disappointing second-quarter profit which it blamed on increasing financing costs and a fall in fuel profit margin.

However, Sahara International Petrochemical surged 2.8% after it reported flat Q2 profit at 210.9 million riyals  ($56.2 million) beating EFG Hermes forecast of 188 million riyals.

In Dubai, the index continued its gain for a fourth day and was up 0.5%, in a boost mainly by its property stocks.

The country's largest listed developer Emaar Properties  traded up at 1%, stretching the gain for the fourth straight session. On Monday, the developer signed an agreement to help deliver an $11 billion project at the site of Beijing's new mega airport.

Dubai Investments advanced 2.2% while Emaar Development was up 1.3%.

Qatar's index added 0.3% with market heavyweight Industries Qatar rising 1.5%, while Qatar Islamic Bank  was up 1.1%, extending gains for a fourth consecutive day.

Last week, the lender reported first-half net profit of 1.42 billion riyals ($389.95 million) up from 1.32 billion riyals year ago.

Abu Dhabi, the index inched up 0.1% higher reflecting an eighth-day rise, helped by energy and real estate stocks.

Dana Gas added further 1.9% after it jumped 5.1% on Wednesday. Abu Dhabi National Energy increased 4.6%.

RAK Properties jumped 4% in its fourth consecutive day of gains after it slated board meeting to discuss financials.

Eshraq Investments extended its gain, rising 1%. The firm reported a drop in second-quarter profit, However, plans for doing away with a limit on foreign ownership of its shares, and for cross-listing on the Saudi Stock Exchange, outweighed poor earnings.

Copyright Reuters, 2019

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