Oil Below $50 Signals Saudi Stocks Can't Defy History for Long

  • Tadawul's valuation premium over emerging markets at risk
  • Stocks battered after government said its mulling subsidy cuts

Oil Rebounds From 2-Month Low

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As bad as the oil bust has been for Saudi Arabia, stocks in the kingdom are still priced at a premium to emerging-market peers.

History suggests that won’t last.