(Corrects non-oil exports release date to yesterday in final paragraph.)
Saudi Arabian shares gained the most in two weeks after crude oil rebounded from the biggest weekly decline since 2008.
Saudi Basic Industries Corp. (SABIC), the world’s biggest petrochemicals maker, gained 0.9 percent to 108.75 riyals. Tabuk Cement (TACCO) Co., the clinker maker, rose 2.4 percent to 21.05 riyals, the highest level since October 2009. The Tadawul All Share Index (SASEIDX) advanced 0.8 percent to 6,674.57 as of 2:37 p.m. in Riyadh. The gauge tumbled 1.6 percent, while Saudi Basic dropped 2.9 percent on May 7.
“A strong rebound in oil prices has helped persuade investors that Saturday’s sell-off in Saudi petrochemicals was overdone,” said Amro Halwani, a senior trader at Shuaa Capital PSC in Riyadh. “Driven by China and other emerging nations the appetite for commodities remains firm with a floor on oil prices near $100 likely to stay in place as long regional geopolitical tensions persist.”
Crude for June delivery increased as much as 3.6 percent to $100.69 a barrel in electronic trading on the New York Mercantile Exchange. On May 6, the contract fell 2.6 percent to $97.18, the lowest settlement since March 15. Saudi Arabia’s non-oil exports to China increased 34 percent to 1.75 billion riyals ($467 million) in March from a year earlier, according to data posted yesterday on the Department of Statistics and Information’s website.
To contact the reporter on this story: Zahraa Alkhalisi in Dubai at firstname.lastname@example.org
To contact the editor responsible for this story: Shaji Mathew at email@example.com