Saudi Stocks Rise Most in Two Months, Led by Savola and SabicDeema Almashabi
Saudi Arabia’s benchmark stock index gained the most in two months, led by chemical producer Saudi Basic Industries Corp. and food retailer Savola Group.
Sabic, as the world’s biggest petrochemicals producer is known, climbed to its highest close since April 13, while Savola gained to a more than six-year high.
The Tadawul All Share Index gained 0.4 percent to 7,645.65, the highest since April 9, at the 3:30 p.m. close in Riyadh, according to data compiled by Bloomberg. The bourse is the only one in the Persian Gulf that trades on Saturdays.
Sabic said today in a statement to the stock exchange that the Ministry of Oil has signed an agreement with the company to provide the fuel needed for its Hadeed unit’s Jubail Industrial City and King Abdullah Economic City in Rabigh project.
“This is positive news for Sabic,” Mohammed Al-Omran, president of the Gulf Center for Financial Consultancy in Riyadh, said today by e-mail. “This will add to Sabic and Hadeed’s revenue and profitability in the long term.” he said.
Savola rose 2.9 percent to 53.5 riyals and Sabic increased 0.8 percent to 95.25 riyals.