The Saudi Stock Exchange regains technical support but sales pressure continues

At the beginning of Tuesday’s trading, there was no change in the performance of the General Index of the Saudi Stock Exchange, after scoring the lowest level of closure in about two years in the last session, with sales pressure for energy and banking sectors. The “Tassi” index rose by a minor percentage, which restores the level of 10500 points, which constitutes technical support, with the shares of “Al -Rajhi Bank” and “Aramco”, the largest company listed in terms of market value, and “Sabic” while “Aqua Power” decreased. Presses on Banks, Majed Al -khaldi, the first financial analyst in the newspaper “Al -iqtisadiah”, indicates a continuous sale of sale in the market over the past two weeks, especially on the energy and banking sector. He added “Al -Sharq” during an interview: “The shares of banks have fallen since the Jackson Hall meeting and the tip (Federal Reserve Jerome) Powell to reduce interest once, and it may be a sign that customers believe that Saudi banks benefit from reducing interest.” He explained that the largest beneficiary of reducing interest rates is the activities of lending individual clients with banks, which in the last two chapters were a decrease in profitability and delayed the growth of lending, which can see shares that it is not profitable enough. Investors strongly expect a quarter of a percentage point to reduce the Federal Reserve meeting on September 16 and 17, and they have also increased their bets, with the total number of interests in the current year to reach three, according to future contracts. There are no fundamental exits from the Saudi market. The market has seen a remarkable decline in trade values ​​since the second quarter of this year, which amounted to four billion rows yesterday after registering its lowest levels since 2022 at the beginning of the week. But Mohamed Al -Farraj, head of the first asset management in “financing profit”, says that the exits from the market “are not essential.” He explained that poor trade values ​​do not help to place an accurate technical analysis of the support points, adding that any improvement in the liquidity during the coming period can help the market rise, and the most important factor in this will be the interest of interest. “We expect individual investors to gradually return to the market with the end of the summer holidays to recover the market during the last quarter of the year and return to the level of 10900 points,” Al -Farraj said during an intervention with “Al -Sharq”. He added that the index “breaks the level of support at 10574 points, and if it continues under this point with the weekly closing, we can continue to end up up to 10300 points, but it does not ask for concern because the liquidity sizes are very weak and do not indicate fundamental exits.”