[2007-09-26]  Saudi shares rise as market opens
Saudi Arabia’s benchmark ended higher yesterday as local investors piled into stocks after the market regulator lifted restrictions on investment in financial services by other Gulf Arab oil producers.
The index, the Gulf’s worst performer this year, gained 0.62% to 7910 points. Saudi Arabia’s Capital Market Authority lifted remaining restrictions on share trading by Gulf Arab citizens yesterday.
“Prices are going to increase so Saudi investors are buying now before they rise,” said Youssef Kassantini, chief executive of Riyadh-based Bourse Experts. “We are seeing buying across the board.”
GCC investors are likely to begin trading in the first week of October as it takes about 10 days to set up an account to enable them to buy, Kassantini said.
Dubai’s index added 0.84% to 4,267.25 points, closing higher for the sixth time in seven trading days. “The markets are quite positive,” said Mohamed Alami, relationship manager in the dealing room at Naeem Shares & Bonds. “It’s attributable to the fact that interest rates were lowered. It’s a major factor for the markets.”
Air Arabia was the day’s biggest gainer, surging 5.47%. The stock accounted for about half the traded volume on the index.
Abu Dhabi’s index, which has closed higher in all but one of the last seven trading days, climbed 0.48% to 3,493.03 points. Emirates Telecommunications Corp (Etisalat) paced the gains, rising 0.56%. Aldar Properties also rose 1.08%.
Oman’s index, up more than 23% this year, ended up 0.95% to 6,933.91 points, a record high. “We are still moving upwards and our expectation is to go up to 7,000 and cross 7,500 by the end of this year,” said Adel Nasr, broker at United Securities.
Kuwait’s main index rose 0.05% to 12,905.5 points, its seventh gain in the last eight trading days. The benchmark is the Gulf Arab region’s best performer this year, up more than 28%.
Al Ahli Bank rose 1.69%. The lender’s shares have risen almost 18% this month to Monday’s close.
Bahrain’s index climbed 0.17% to 2,542.69points. Ahli United Bank rose 2.13%.





Source: © Gulf Times Newspaper, 2007