The Saudi Stock Market is on their way to earning profits weekly for the first time in a month that benefits from morale recovery, due to the reduction in interest rates in the United States, despite the continued uncertainty about the future course. The general index, “Tassi”, continued its increase to the third consecutive session and scored 10677 points, with the support of the rise of all leadership shares, except for the “Al -Rajhi Bank”, in addition to a leap in the part of the “MBC” group following the announcement of the public investment for the 54% interest. Mohamed Zaidan, the financial analyst in “Al Sharq News”, believes that the market is starting to get rid of the pressure it has recently been exposed to improving morale, and the index has reached attractive levels of settings. He added that “the close scenario in the short term is a test of the level of 10750 to 11 thousand points, but the penetration and stability above will require longer time.” Continuous optimism after reducing interest Mary Salem, the financial analyst of “Al -Sharq”, believes that the positivity that the markets saw before the interest decision is expected, but the continued increase after the decision indicates the optimism of investors in the effect of reducing interest on the listed companies, especially the high debt. Yesterday, the US Federal Reserve reduced the interest rates by 25 basis points, so that the Saudi Central Bank would fulfill its impact. Future expectations of US monetary policymakers indicate more reductions until next year. But with the impact of customs duties on inflation in the United States that remain clear, US Central Bank president Jerome Powell indicated that federal officials would face difficult options in the coming months when considering the reduction process. The high market comes today, unlike the movement of US stock markets, which has decreased in the last session. Ikrami Abdullah, chief financial analyst in the newspaper “Al -iqtisadiah”, says that the Saudi market is not with the optimism that preceded the federal decision, except in the last two sessions, so the beneficiary sectors are expected to see a greater movement. He added during an interview with “Al Sharq” that bank margins will be subjected to some pressure as a result of reducing interest in the lending, while “you cannot reduce the interest in deposits by a large percentage due to intense competition between banks for liquidity, but the significant growth in demand for credit can be compensated.” The MBC Group announced some of the other news the market traders died with that the Kingdom’s sovereign fund has completed the acquisition of 54% of the group’s capital. The share jumped by about 8% in the early trading, with 31.6 Riyals. The share of the ‘Arab company for Internet and Communication (Slushis)’ also continued to rise to the highest level in 9 months. The company announced yesterday the signing of an agreement with ‘Aramco’ for the Wool Compulator Infrastructure Project, which can make revenue of more than 600 million rows.
Saudi shares still climb to the third session with the support of reducing interest
