TASI rebounds as Brent climbs over $52

Saudi Arabian shares rebounded slightly on Monday, buoyed by a jump in Brent crude prices to over $52 per barrel. The Tadawul All Share Index (TASI) closed 0.6 percent higher to 6,892.

A few other indicators--including a narrowing of the Kingdom’s budget deficit for the first quarter and 38 percent growth in corporate profits that suggested that the economy was recovering from the spending squeeze of the past year--also lifted sentiment.

Volumes rose slightly from the previous session lows to SAR 2.8 billion. The advances- declines ratio was 143/21.

All sectors, except energy, finished in positive territory.  Retailing, materials and capital goods led the advance.

Petrochemical giant SABIC gained 0.6 percent to SAR 97.75. Sahara added more than 3 percent to SAR 13.95.

eXtra climbed 6 percent to SAR 33.90. The retailer completed a 16.66 percent capital increase to SAR 420 million from SAR 360 million through a bonus share issue.

Elsewhere Dar Al-Arkan rose 4 percent to SAR 6.60 amid trading worth over SAR 722 million. The developer said Monday its chief executive officer has resigned. 

Top gainer, Ash-Sharqiyah Development Co. extended gains, closing limit up again at SAR 38.50. The company said its accumulated losses have been fully offset on booking additional retained earnings of SAR 154.14 million following International Financial Reporting Standards (IFRS) implementation.

In contrast, the energy sector was weighed down once gain by Petro Rabigh, down more than 5 percent to SAR 12.40, its lowest close in more than three months.

The firm widened its Q1 net loss year-on-year to SAR 240 million, falling well short of the consensus forecasts of net profit at SAR 84 million.  

Write to Brinda Darasha at brinda.d@argaamplus.com