The Saudi Stock Exchange's main index (TASI) opened trading on Monday on a positive note, rising 0.6% to reach 10,427 points. The first few minutes of the session saw significant buying activity, with trading volume reaching approximately SAR 174 million, reflecting investor appetite and optimism regarding the performance of listed companies.
According to data released by the Saudi Stock Exchange (Tadawul), the volume of shares traded at the start of the session reached approximately 14.2 million shares, while the total market capitalization of listed shares remained stable at a substantial level of SAR 8.701 trillion. This performance reinforces the Saudi stock market's position as one of the largest markets in the Middle East and North Africa region in terms of liquidity and market capitalization.
Company and sector performance
The session saw a general rise in the majority of stocks, with 230 companies recording an increase in their market value, compared to only 18 companies whose shares declined. The top gainers included United Insurance, Shari, Red Sea, Exports, and Industries. Conversely, the biggest losers included companies such as Maharah, Emaar, Al Maather REIT, Sanad Holding, and Arabiya.
Economic context and market importance
This surge is particularly significant given the economic transformation underway in Saudi Arabia as part of Vision 2030, which aims to diversify income sources and reduce reliance on oil. The stock market serves as a true reflection of the growth of the private sector and non-oil companies. The index's surpassing of technical and psychological barriers, such as the 10,400-point level, sends positive signals to both domestic and foreign investment portfolios, enhancing the market's attractiveness to foreign capital inflows, which have witnessed steady growth in recent years.
The huge market capitalization of the Saudi market plays a pivotal role in placing the Kingdom on the global investment map, as the market has been included in global emerging market indices such as MSCI and FTSE Russell, making any positive movement of the index a focus of attention for investment fund managers around the world.
Parallel market performance (growth)
Meanwhile, the performance of the parallel market (Nomu) diverged from the main market, with the index declining by 0.2% at the start of trading to reach 23,321 points. Liquidity in Nomu during the morning session reached approximately SAR 1.3 million, with 171,300 shares traded, representing a market capitalization of SAR 42 million. The parallel market saw gains in the shares of 10 companies compared to declines in 8, out of a total of 126 listed companies. This reflects the high volatility and opportunities available in the small and medium-sized enterprises (SMEs) market.
