FINWIRES · TerminalLIVE
FINWIRES

Saudi Shares Close Wednesday Lower; US-Iran Reportedly Set to Sign Peace Deal

By

The Tadawul All Share Index closed Wednesday 0.52% in the red as investors tuned in to the latest updates regarding the peace deal between the US and Iran.

A Pakistani source reportedly said that the US and Iran are set to finalize a one-page memorandum to conclude the Middle Eastern conflict. The 14-point deal reportedly included the unfreezing of Iranian funds, sanctions lifts, and others.

In other news, Saudi Arabian Oil Co. (SASE:2222), d/b/a Saudi Aramco, lowered North West Europe, Mediterranean, and Asian main crude oil prices in June. Price tags for the North American region, meanwhile, were unchanged. Aramco shares closed 2.81% lower.

"Oil prices are under renewed pressure as the ceasefire between the US and Iran appears to be holding despite recent escalation in the Persian Gulf," ING said in a note. "Saudi Arabia cut its official selling price for its flagship Arab Light to Asia for June. The OSP was cut from a record US$19.50/bbl premium over the benchmark in May to US$15.50/bbl. This is still the second-highest OSP on record. Crucially, this price assumes loadings from Ras Tanura, which sits in the Persian Gulf. This is clearly not happening. Instead, crude is being loaded at Yanbu on the Red Sea coast. As a result, final prices may be higher to reflect the logistical costs of shipping from the Red Sea."

Back at home, earnings from insurance companies largely dominated headlines in Saudi Arabia. Gulf Insurance Group (SASE:8250), The Co. For Cooperative Insurance (SASE:8010), d/b/a Tawuniya, posted higher results for the March quarter. However, Malath Cooperative Insurance (SASE:8020) logged a decline in attributable profit and insurance revenue for the period.

Gulf Insurance, Tawuniya, and Malath Cooperative all closed higher at 9.08%, 6.20%, and 1.35%, respectively.

Meanwhile, Saudi Tadawul Group (SASE:1111) ticked up 2.25% after its board recommended to repurchase up to 1,220,000 shares for its employee stock incentive plan.

Related Articles

Asia Markets

US Equity Indexes Advance, Crude Oil Drops as Rubio Says Combat Operation Against Iran 'Over'

US equity indexes rose on Tuesday as crude oil futures fell after the United Arab Emirates reported fresh Iranian attacks and Secretary of State Marco Rubio reportedly said combat against Tehran is "over."The Nasdaq Composite was 1% higher at 25,326.13, after touching a record 25,361.05 intraday. The S&P 500 climbed 0.8% to 7,259.22, and the Dow Jones Industrial Average advanced 0.7% to 49,298.25. All sectors rose, with materials and technology leading the gainers.The UAE said it was under attack from Iranian missiles and drones for a second day on Tuesday, according to a report from Reuters. However, US Secretary of State Marco Rubio said Tuesday the combat operation launched in February against Iran has ended, CNN reported. US military action during the ceasefire is a "defensive operation," he was cited as saying.At a Pentagon briefing Tuesday, Gen. Dan Caine, chairman of the Joint Chiefs of Staff, said Iran's military actions on Monday didn't rise to the level of restarting the war, according to The Wall Street Journal. Defense Secretary Pete Hegseth, speaking at the same press conference, said the Iran ceasefire deal remains in force and promised to press ahead with opening the Strait of Hormuz, the chokepoint for about a fifth of global crude oil flows.The statements follow Tehran's strikes in the Strait of Hormuz and at Fujairah in the UAE on Monday, fueling concern that the ceasefire agreement between Washington and Tehran was at risk. Earlier this month, President Donald Trump told congressional leaders that "hostilities" with Iran have "terminated," addressing a critical 60-day deadline under a decades-old law meant to limit the use of military force without authorization from Congress, CBS News reported.West Texas Intermediate crude oil futures dropped 3.9% to $102.27, and Brent crude futures slumped 3.1% to $110.83.US Treasury yields fell, with the 10-year down two basis points to 4.43%, retreating from its highest level in about a month. Two-year yield slid 1.8 basis points to 3.94%.In economic news, US job openings fell to 6.866 million in March from 6.922 million in February, according to the Bureau of Labor Statistics, versus the 6.850 million expected in a Bloomberg-compiled poll. The March level represents 4.1% of total employment, down from 4.2% in February and a year ago.Meanwhile, the Institute for Supply Management's US services index declined to 53.6 in April from 54.0 in March, versus expectations for 53.7 in a Bloomberg-compiled survey.In company news, Intel (INTC) shares soared 13%, the second-biggest gainer on the S&P 500 and the Nasdaq, after Bloomberg reported that Apple (AAPL) has held early discussions with the company and Samsung Electronics on producing key device processors in the US.Huntington Ingalls Industries (HII) reported flat Q1 earnings. Its share fell 10%, the steepest decline on the S&P 500.Shopify (SHOP) reported a Q2 revenue outlook that implied a sequential slowdown in annual growth. Its shares tumbled 16%, the worst performer on the Nasdaq.Precious metals were mixed, with gold futures up 0.8% to $4,569.6. Silver futures added 0.1% to $73.58, after trading higher earlier in the session.

Dow JonesNasdaq CompositeS&P 500$AAPL$HII$INTC$SHOP
Asia Markets

US Equity Indexes Rise, Crude Oil Slides As Iran Ceasefire Stays Intact

US equity indexes rose after midday Tuesday as crude oil futures slumped after Defense Secretary Pete Hegseth said the ceasefire agreement with Iran remains in force.The Nasdaq Composite was 0.9% higher at 25,304.2, after touching a record 25,335.40 intraday. The S&P 500 climbed up 0.8% to 7,258.5, and the Dow Jones Industrial Average advanced 0.6% to 49,225.1.All sectors except financials and communication services rose. Materials, technology, and industrials led the gainers.At a Pentagon briefing Tuesday, Gen. Dan Caine, chairman of the Joint Chiefs of Staff, said Iran's military actions didn't rise to the level of restarting the war, according to The Wall Street Journal.Hegseth, speaking at the same press conference, promised to press ahead with opening the Strait of Hormuz, the chokepoint for about a fifth of global crude oil flows.The statements follow Tehran's strikes in Hormuz and the United Arab Emirates amid rising tensions on Monday, fueling concern that the ceasefire was at risk.West Texas Intermediate crude oil futures dropped 4.2% to $102.23, and Brent crude futures slumped 3.8% to $110.61.US Treasury yields fell, with the 10-year down 2.8 basis points to 4.42%, retreating from its highest level in about a month. Two-year yield slid 2.4 basis points to 3.94%.In precious metals, gold futures climbed 0.8% to $4,571.8, and silver futures rose 0.1% to $73.56.In economic news, US job openings fell to 6.866 million in March from 6.922 million in February, according to the Bureau of Labor Statistics, versus the 6.850 million expected in a Bloomberg-compiled poll. The March level represents 4.1% of total employment, down from 4.2% in February and a year ago.The Institute for Supply Management's US services index declined to 53.6 in April from 54.0 in March, versus expectations for 53.7 in a Bloomberg survey.In company news, Intel (INTC) shares soared 14%, the top performer on the S&P 500 and the Nasdaq, after Bloomberg reported that Apple (AAPL) has held early discussions with the company and Samsung Electronics on producing key device processors in the US.Huntington Ingalls Industries (HII) shares were down 11%, the steepest decline on the S&P 500, following its Q1 results.Shopify (SHOP) reported a Q2 revenue outlook that implied a sequential slowdown in annual growth. Its shares tumbled 14%, the worst performer on the Nasdaq.

Dow JonesNasdaq CompositeS&P 500$AAPL$HII$ITC$SHOP
Asia Markets

Exchange-Traded Funds Rise as US Equities Advance After Midday

Broad Market IndicatorsBroad-market exchange-traded fund IWM and IVV were higher. Actively traded Invesco QQQ Trust (QQQ) edged up 1.2%.US equity indexes rose in midday trading on Tuesday as crude oil futures slumped after Defense Secretary Pete Hegseth said the ceasefire agreement with Iran remains in force.EnergyIShares US Energy ETF (IYE) and the State Street Energy Select Sector SPDR (XLE) each added about 0.4%.TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) was up 2.1%; iShares US Technology ETF (IYW) climbed 1.8%, and iShares Expanded Tech Sector ETF (IGM) rose 1.7%.The State Street SPDR S&P Semiconductor (XSD) gained 3.8%, and iShares Semiconductor (SOXX) was up 4.3%.FinancialThe State Street Financial Select Sector SPDR (XLF) fell fractionally. Direxion Daily Financial Bull 3X Shares (FAS) declined 0.3%, and its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), climbed up 0.5%.CommoditiesCrude oil dropped 4%, and the United States Oil Fund (USO) shed 2.9%. Natural gas was down 2.8%, and the United States Natural Gas Fund (UNG) fell 2.2%.Gold on Comex rose 0.7%, and the State Street SPDR Gold Shares (GLD) added 0.9%. Silver gained 0.2%, and iShares Silver Trust (SLV) was up 0.4%.ConsumerThe State Street Consumer Staples Select Sector SPDR (XLP) added 0.4%. The Vanguard Consumer Staples ETF (VDC) rose 0.3%, and iShares Dow Jones US Consumer Goods (IYK) was 0.3% higher.The State Street Consumer Discretionary Select Sector SPDR (XLY) gained 0.5%. VanEck Retail ETF (RTH) was up 0.5%, and the State Street SPDR S&P Retail (XRT) rose 1.1%.Health CareThe State Street Health Care Select Sector SPDR (XLV) added 0.2%, iShares US Healthcare (IYH) gained 0.1%, and Vanguard Health Care ETF (VHT) rose fractionally. IShares Biotechnology ETF (IBB) slipped 0.4%.IndustrialThe State Street Industrial Select Sector SPDR (XLI) added 1.1%. Vanguard Industrials Index Fund (VIS) and iShares US Industrials (IYJ) were also higher.CryptocurrencyIn midday activity, bitcoin (BTC-USD) advanced 1.6%. Among cryptocurrency ETFs, ProShares Bitcoin ETF (BITO) added 1.5%, ProShares Ether ETF (EETH) gained 0.4%, and ProShares Bitcoin & Ether Market Cap Weight ETF (BETH) was 1.8% higher.

Dow Jones^EEM^EXI^FAS^FAZ^GLD^IBB^IGM^IGV^IPK^IVV^IWMNasdaq Composite^IYE^IYH^IYJ^IYK^IYW^PMR^QQQ^RTH^SOXXS&P 500^SPY^UNG^USO^VDC^VHT^VIS^XLE^XLF^XLI^XLK^XLP^XLV^XRT^XSD$BETH$BITO$EETH