The Saudi stock market rebounded today, recovering part of its previous losses as oil prices surged. The market index closed 221 points higher, a 4% increase, at 11,746 points with trading values reaching 6.4 billion SAR.
Nearly all listed stocks saw gains, with 164 companies rising and only three declining. Over 400 million shares changed hands through 149,000 transactions during the session.
Recovery After Initial Decline
Earlier in the day, the market experienced a sharp 0.4% drop, pushing the general index to 11,909 points. However, the market regained momentum as shares of Saudi Aramco rose 0.9% to 28.7 SAR, helping alleviate downward pressure.
Global Impact on Saudi Stocks
The market reacted to the US Federal Reserve’s signal of a slower pace in reducing interest rates, expected to persist through 2025, creating caution in global financial markets.
This outlook impacted Saudi blue-chip stocks, with notable declines in key players like Al Rajhi Bank, which fell by 1.6%.
FTSE Russell Adjustments and Expected Effects
The market is also awaiting the impact of FTSE Russell’s emerging market index adjustments during the closing auction period. These include:
- Increasing Aramco’s weight in the index from 1.85% to 2.34%.
- Adding Dr. Sulaiman Al Habib Medical Group to the mid-cap and global standard indices.
These changes are expected to enhance the market’s appeal to both local and international investors.