Cautiously positive performance in the Saudi financial market
The Saudi Stock Exchange's main index (TASI) ended Wednesday's trading session slightly higher, adding a marginal gain of 0.1% to close at 11,341 points. This cautious positive performance came amid active market liquidity, with total trading value reaching approximately SAR 5.15 billion, reflecting continued investor interest in the largest financial market in the Middle East and North Africa region.
According to official data from the Saudi Stock Exchange (Tadawul), approximately 219.4 million shares were traded during the session, while the total market capitalization of listed shares remained stable at around SAR 9.49 trillion. Despite the rise in the general index, the performance of listed companies showed a clear divergence, with 168 companies experiencing a decline in their share prices, while only 84 companies saw their share prices rise out of a total of 268 companies listed on the main market. This suggests selective profit-taking in some sectors.
Background and importance of the Saudi financial market
The Saudi Stock Exchange (Tadawul) is a cornerstone of the Saudi economy and a key driver for achieving the goals of Vision 2030. Over the past years, the market has witnessed tremendous structural and regulatory developments, most notably its inclusion in global emerging market indices such as MSCI and FTSE Russell. This has opened the door to significant foreign investment inflows and enhanced the market's depth and transparency. The performance of the Tadawul All Share Index (TASI) reflects not only the health of listed companies but also the confidence of local and international investors in the Kingdom's economic reform program aimed at diversifying its economy away from oil dependency.
Economic impact and top performing stocks
The stability and growth of the Saudi stock market have a direct impact on the investment climate in the Kingdom and the region as a whole. The market reflects the national economy, and any positive movements within it enhance the Kingdom's attractiveness to foreign direct investment and support major development plans. During today's trading session, shares of companies such as Al Majed for Oud, Industries, Al Kathiri, Thimar, and Sadarat stood out among the top gainers. Conversely, shares of companies such as Elm, Abu Moati, United Insurance, Electrical Industries, and Jamjoom Pharma led the list of decliners.
Parallel market performance 'growth'
On the parallel market (Nomu), which aims to provide a financing platform for small and medium-sized enterprises (SMEs), the index closed significantly lower at 23,810 points. Trading value on Nomu reached approximately SAR 18.13 million, with 1.8 million shares traded. The parallel market saw 39 companies' shares decline compared to 31 that rose, out of a total of 125 listed companies. This reflects the volatile nature of this market, which comprises companies in their early growth stages.
