Saudi Arabian equities rose on Tuesday, with the Tadawul All Share Index closing 0.24% higher, as the renewed hopes regarding possible peace talks between the US and Iran boosted investor sentiment.
Iran sent a new peace proposal to the US, which included the end of the Middle Eastern conflict, the withdrawal of US troops, and reparations. The move prompted a pause in a US plan to resume military action in the Middle Eastern country.
"In the US-Iran war, Tehran has submitted a new response to the latest US proposal via Pakistan, though mediators warn the ceasefire is 'on life support'. Brent Crude slipped around 2% to USD109.8/bbl in early Asian trading after President Trump said he had paused a planned large‑scale strike on Iran to allow time for negotiations aimed at ending the war in the Middle East. Yet Trump insists the US remains ready to act if talks fail," Danske Bank said in a note.
Further to this, Pakistan reportedly sent over troops and air defense systems to Saudi Arabia as part of its mutual defense pact. The deployment was made to support the kingdom's defense in case of a wider conflict.
On the corporate front, Alinma Bank (SASE:1150) shares edged up 0.13% as it disclosed its plans to issue US dollar-denominated sustainable additional tier 1 capital certificates via a special purpose vehicle to investors.
Meanwhile, the bourse is set to expand as Dar Albalad for Business Solutions will debut on the bourse's main market under the 7205 ticker on Wednesday. Additionally, the IT services company's subscribed securities were added to the eligible security holder accounts.