The UAE and Saudi stock markets posted considerable gains this week even as oil prices took a dip with the US tapping into its reserves to tame high crude oil prices.
On Tuesday, the Saudi index touched a 16-year high after a supply shortage, and stable demand pushed oil prices higher ahead of peace talks between Russia and Ukraine. As a result, TASI rose 15.7 percent during the first quarter of 2022.
On the other hand, the Abu Dhabi index rose 17.2 percent over this quarter and gained 1.6 percent weekly. While the Dubai index grew by more than 10 percent in this quarter, showing a 3.7 percent increase throughout the week.
TASI: Highest level since June 2006
Al-Rajhi Bank’s 1.8 percent growth drove up the Saudi stock index 0.4 percent on Sunday (March 27, 2022). But the index’s rise was curbed by a decline in Aramco’s shares.
On Monday (March 28, 2022), it also rose by 0.5 percent, with Al-Muammar Information Systems rising 3.3 percent after the company announced a slew of new projects.
TASI climbed to 13,114.89 points, its highest level since June 2006, on Tuesday (March 29, 2022). In contrast, the index dropped by 0.5 percent on Wednesday (March 30, 2022).
The Saudi index ended its week Thursday (March 31, 2022) up by 0.4 percent at the close, with the share of the oil giant Aramco rising 3.4 percent.
Abu Dhabi Index Variation
Abu Dhabi’s main stock index rose by 0.6 percent on Monday (March 28, 2022) and 0.7 percent on Tuesday (March 29, 2022). After a six-day streak of increases, the index dipped marginally on Wednesday (March 30, 2022).
Abu Dhabi’s index restored its gains and rose by 1 percent on Thursday (March 31, 2022) after posting advances in seven of the previous eight sessions, but it fell by 0.2 percent on Friday (April 1, 2022).
DEWA’s offering supports the Dubai Stock Exchange
Dubai’s main stock index jumped more than 2 percent on Monday (March 28, 2022), its best day since December 6, as investors returned to the region after the Dubai Electricity and Water Authority’s initial public offering (DEWA) launched last week.
With an IPO of up to US$ 2.19 bn, DEWA hopes to become the largest emirate-based company to go public since DP World’s 2007 IPO.
On Tuesday (March 29, 2022), the Dubai market’s main index gained 0.9 percent and 0.4 percent on Wednesday (March 30, 2022).
The gains in financial sector shares exceeded the losses in real estate on Thursday (March 31, 2022); therefore, the Dubai index closed the day unchanged. However, the benchmark index climbed 0.3 percent on Friday (April 1, 2022), boosted by increases in telecom services sectors.