Stable outlook for Saudi banks helps lift TASI

Banks helped boost Saudi Arabia’s index on Wednesday after a Moody's report raised the outlook for the kingdom’s banking system to stable from negative.

The benchmark Tadawul All Share Index (TASI) rose 0.7 percent to 6,836 with trading turnover just topping SAR 3.5 billion.

Banque Saudi Fransi (+3 percent), National Commercial Bank (+2.6 percent), Al Rajhi Banks (+1.5 percent) and Samba (+1.5 percent) underpinned the gains in the financial sector.

Elsewhere, energy and consumer durables gained over 1 percent each.

Meanwhile, Middle East Paper Co. rose 5 percent to SAR 16.25. Its board of directors today recommended a 7.5 percent dividend for the fiscal year 2016.

Tabuk Cement added 1 percent to SAR 12.60. The company has secured a one-year export license.

Elsewhere, Atheeb Telecom jumped over 8 percent to SAR 4. The loss-making telco on Tuesday unveiled a new restructuring plan.

In contrast, Yanbu National Petrochemical Co. was top decliner, down 2 percent at SAR 56.25 after the stock went ex-dividend. 

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