Saudi shares extended their sixth session in a row in the longest streak in a month to close at 7,742 points, the highest since August 2015. The rise came in support of the Basic Materials led by SABIC and the banking sector led by Al Rajhi. The moves came amid an increase in market activity, with liquidity rising 5 percent to reach 4.4 billion riyals. These moves come ahead of the announcement of the domestic market entry to the FTSE Emerging Markets, which is expected to have a positive impact by attracting foreign liquidity. The general index is close to 8000 points.

The market has become more sensitive to the variables due to the saturation of the purchase during the current wave of rise as the market's entry will boost the uptrend. As a result of entering liquidity in the hope of joining, the lack of an announcement will have the opposite effect, and many may prefer to sell to achieve capital gains. Resistance levels at 8006 points while support at 7839 points.

Overall market performance

The general index opened at 7857 points, and headed towards the highest point at 7946 points, gaining 1.14%. At the end of the session, the general index closed at 7942 points, gaining 85 points, 1 percent. Liquidity rose 5 percent to about 227 billion riyals to reach 4.4 billion riyals, 40.7 thousand riyals per transaction. While traded shares increased 4 percent by about 7.5 million shares to reach 181 million traded shares. The turnover rate is 0.35 percent. The deals rose 12 percent, 11.6 thousand to reach 108,000.

Sector performance

Nine sectors rose against the rest. The rise was led by "Public utilities" that rose 2.4 per cent, followed by "property management and development" by 1.89 percent, and "basic materials" by 1.67 per cent. While the decline was led by "Media" that rose 1.4%, followed by "Transportation" by 1%, and "food segmentation" by 0.95%. The main turnovers were "basic materials" of 31 percent with a value of 1.3 billion riyals, followed by "banks" of 26 percent with a value of 1.1 billion riyals, and "real estate management and development" of 14 percent, with a value of SR 599 million.

Stock performance

The rise was led by "SIECO" that rose 6% to close at 276.23 riyals, followed by "Arab National Bank" by 3.4% to close at 29.81 riyals, and "EIC" by 3.14% to close at 23.35 riyals.

On the other hand, the decline was led by "Derayah Riet" of 3.22 percent to close at 8.71 riyals, followed by "Saptco" by 3.18 percent to close at 16.44 riyals, and thirdly "Anaam Holding" by 3 percent to close at 12.29 riyals.

The highest turnovers were "Dar Al-Arkan" with 11 percent of SR 475 million, followed by "Al-Rajhi" by 10 percent to SR 451 million, and "SABIC" with 9 percent of SR 428 million.

* Economic Reports Unit​