Saudi Arabia’s benchmark index is holding steady at 15-year highs despite breaking a 10-day positive streak on Sunday, the first day of trading for the week.
The Tadawul All Share Index fell 1.23% on Sunday and was down −71.40 (0.59%) on Monday. Still, optimism for the Kingdom’s bourse and economic prospects in general remained high for 2022.
A recent poll of 25 economists by Reuters, conducted Jan. 11-19, forecast all six economies in the Gulf Cooperation Council would grow faster this year than was expected three months ago, and Saudi Arabia was predicted to top the list with growth of 5.7%.
A report in CNBC cites Tarek Fadlallah, chief executive officer of Nomura Asset Management, Middle East, as saying “Sentiment in Saudi Arabia is bullish due to brisk economic activity, sequential gains in corporate profits, lucrative IPO activity, a strong real estate market, and very high oil prices.”
Meanwhile, Goldman Sachs Group’s John Wilkinson, the bank’s London-based head of emerging-market equity capital markets, told Bloomberg in an interview that Saudi Arabia remains “the biggest driver for Middle East ECM.
Riyadh has had more listings than any of its Gulf rivals in the past year.
