The Tadawul All Share Index started the week higher at 0.32% in the green on Sunday as market watchers focus on the results of OPEC+'s latest meeting on crude production levels.
The members of OPEC+, which includes the Organization of the Petroleum Exporting Countries and allies such as Russia, kept their crude production levels for October unchanged. Saudi Arabia will produce 10.5 million barrels per day during the month.
In international news, investors are focused on the latest updates regarding the US-Iran conflict as the two exchanged attacks over the weekend. Market watchers are concerned about the prolonged war's effect on crude supply, as well as prices.
"Oil prices are still holding most of their recent gains, but those could prove fragile. If Strait of Hormuz flows continue uninterrupted despite the latest escalation, the upward pressure on prices may begin to fade," ING said. "The latest data from Insights Global shows that refined product inventories in the ARA region fell by 118kt week-on-week to 4.15mt. The decline was led by naphtha, gasoil and jet fuel. With gasoil inventories at 1.61mt, they are now seasonally below 2022 levels. Unless Persian Gulf and/or Russian diesel flows recover, the market is likely to tighten further as we head towards winter."
Back at home and on the corporate front, Al Rajhi Bank (SASE:1120) closed its tier 2 social trust certificates offer totaling $600 million. The 3,000-sukuk offering was available to eligible investors. Shares of the lender closed 0.68% higher.
Meanwhile, Dar Albalad for Business Solutions (SASE:7205) shares ticked up 1.33% at closing as it entered into a six-month memorandum of understanding to potentially purchase Clouding Computer Systems and Clouding Intelligence Computer Systems.