On Wednesday, the Saudi Arabian securities market fell on lower oil prices, triggering a major stock sale, while each stock market dropped after two years of issuing MSCI market indices, when two of the largest stocks were not included in global indices.
Saudi Arabia's headline index fell 1.2%, the lowest close to almost three weeks after Tuesday's oil prices dropped by almost seven percent.
In total, the share of all 14 listed petrochemicals declined, while Saudi Basic Industries Corp. (SABIC) lost 1.8 percent. 11 bank shares also dropped from 12 listed banks, while the NCBs – the largest – by 2.4 percent.
If oil prices continue to fall, government plans to increase spending next year may be affected, as revenue will decrease and banking restraints continue.
The carriers surpassed more than three to one profit, while Fawaz Abdulaziz Al Hokair retail and shopping centers peaked at 10 percent every day after MSCI decided to add it to a small Saudi Arabian index.
Shaker Group's household appliances rose 5.2 percent after rising from record levels in intense trade over the past two sessions.
The Qatari index fell 1.1 percent. The index recorded the best result among GCC equity markets since the beginning of the year.
Qatar's fuel was the strongest pressure on the index, slipping by a daily limit of 10 percent, while Mesaieed Petrochemicals dropped by 1.5 percent. Unlike market expectations, MSCI decided not to include any of these two indices in the global indexes.
After the Doha Bank dropped 6.3 percent after MSCI was moved to a smaller index in the decision by the end of the month.
The Abu Dhabi index rose 1.1 percent, while Abu Dhabi's first bank, the largest bank in the United Arab Emirates, grew by 2.8 percent. According to Arqam Capital, MSCI decided to double its stock in its Emerging Markets index.
The Abu Dhabi Commercial Bank (ADCB) with limited trading gained 1 percent, while the National Bank of the Union gained 0.6 percent.
The ADCB has appointed Barclays to advise on a possible merger with the National Bank of the Union and Al Hilal Bank, reports Reuters quoting the sources of the bank.
The Egyptian benchmark index fell by 0.4 percent, EFG-Hermes lost 2.5 percent, while Pioneers Holding leaked 7.5 percent.
However, Egyptian iron and steel prices rose 4.4% after the company reached a $ 58.7 million debt settlement deal with Banque Misr.
The Dubai index is a closed apartment, Emirates NBD – 2.7 percent and Aramex logistics – 1.7 percent. But Dubai Investment dropped 3.8 percent after MSCI decided to move its index to UAE's small businesses from its UAE benchmark.
The following are the closing rates for Middle East stock market indices:
– Saudi Arabia: the index dropped 1.2% to 7.660 points.
– Dubai: The index stood at 2776 points.
– the index rose by 1.1% to 5,021 points.
Qatar: The index dropped by 1.1 percent to 10,199 points.
– Egypt .. The index dropped by 0.4 percent to 13487 points.
– Kuwait: the index rose by 0.1 percentage point to 5297 points.
– Bahrain: The index rose by 0.4 percent to 1311 points.
– Oman: The index fell by 0.2 percent to 4,460 points.