TASI ends higher; banks gain on Fed hike hopes

Saudi Arabian rose steadily on Wednesday to close the slightly higher, boosted by banks and utilities.

The benchmark Tadawul All Share Index (TASI) closed 0.5 percent higher at 6,854. Turnover was relatively more robust at SAR 2.7 billion.

All bank stocks closed in positive territory as investors and traders looked ahead to the US Federal Reserve’s policy meeting. Saudi banks are expected to benefit from any Fed hike in interest rate as the riyal is pegged to the US dollar. 

National Commercial Bank jumped nearly 3 percent to SAR 44 while Saudi British Bank added 2 percent.

Elsewhere, Saudi Electricity climbed 2.6 percent to SAR 21.80.

Among petrochemicals, SABIC, edged higher to SAR 99.10. Petrochem meanwhile gained 3.6 percent to SAR 17.08 while Sipchem added 1 percent.

Food and beverage retailers mostly continued their seasonal advances. Savola added 1 percent while Jazadco rose more than 2 percent.

Al Rajhi Takaful was top riser in the broader market, surging 5 percent to SAR 51.80, albeit slipping from a session high of SAR 54.

Meanwhile, Salama Cooperative Insurance Co.’s closed slightly lower at SAR 16.94, after rising 5 percent within 90 minutes of opening as 600,000 shares were traded.

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