Telecoms, transport sectors send Saudi stock index higher

Saudi stocks were higher after the close, as gains in the Telecoms & IT, Insurance and Transport sectors led shares higher

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Saudi stocks were higher after the close on Wednesday, as gains in the Telecoms & IT, Insurance and Transport sectors led shares higher.

At the close, the stock benchmark Tadawul All Share Index rose 0.19%.

The best performers of the session on the Tadawul All Share were Takween Advanced Industries, which rose 9.96% or 7.29 points to trade at 80.50 at the close. Meanwhile, Trade Union Cooperative Insurance added 9.84% or 3.45 points to end at 38.50 and Mobile Telecommunications Company was up 5.70% or 0.65 points to 12.05 in late trade.

The worst performers of the session were Salama Cooperative Insurance Co, which fell 35.10% or 10.33 points to trade at 19.10 at the close. Saudi Cement Company declined 4.62% or 4.47 points to end at 92.25 and United Electronics Company was down 3.96% or 3.35 points to 81.25.

Rising stocks outnumbered declining ones on the Saudi Arabia Stock Exchange by 89 to 76.

Shares in Takween Advanced Industries rose to all time highs; rising 9.96% or 7.29 to 80.50. Shares in Salama Cooperative Insurance Co fell to all time lows; falling 35.10% or 10.33 to 19.10.

Crude oil for August delivery was down 1.72% or 1.02 to $58.45 a barrel. Elsewhere in commodities trading, Brent oil for delivery in August fell 1.03% or 0.66 to hit $62.94 a barrel, while the August Gold contract fell 0.21% or 2.50 to trade at $1169.30 a troy ounce.

Oil prices fell on Wednesday with developments over Greece providing the main direction for markets.

US benchmark West Texas Intermediate for August delivery slid 86 cents to $58.61 a barrel. Brent North Sea crude for August dropped 60 cents compared with Tuesday’s close to stand at $62.99 a barrel.

“The Greece debt crisis may have stoked concerns of a contagion effect to the eurozone, which means that we could see a drop in demand for oil on potentially weaker growth,” said Bernard Aw, a strategist at IG Markets.

The Greek situation has also weighed on the euro, making dollar-denominated oil more expensive for holders of the single currency.

Oil prices had rebounded on Tuesday as Iran and six major powers extended a deadline for reaching a nuclear deal, deferring the entry of more Iranian oil into an oversupplied global market. Traders were awaiting the release Wednesday of US inventory data that provides indications of energy demand in the world’s biggest economy.

This article was first published by the Saudi Gazette on Wednesday, July 1st, 2015.