Saudi Equities Extend Losing Streak Amid Continued Middle Eastern Conflict Jitters
The Tadawul All Share Index closed Monday at 0.63% in the red as the newest updates regarding the Middle Eastern conflict continued to dampen investor sentiment.Over the weekend, the US and Iran exchanged warnings on potential escalations if either side launched attacks against each other. The threats came as Iranian President Masoud Pezeshkian is expected to attend the United Nations General Assembly in New York this week.Meanwhile, investors are also keeping their eyes on the operations of the Strait of Hormuz. Shipping data showed that 17 commodity vessels traveled through the waterway, which was down from 37 a week ago."Crude oil started the week on a softer footing, with ICE Brent falling around 2% to below $102/bbl and WTI easing to around $98/bbl. The pullback comes despite ongoing geopolitical risks and continued concerns over global oil supply disruptions. Profit-taking after recent gains, together with hopes for constructive discussions at this week's UN General Assembly (UNGA) and the upcoming Trump-Xi meeting, helped improve market sentiment," ING said in a note.Back at home, Perfect Presentation for Commercial Services Co. (SASE:7204), d/b/a 2P, upsized and renewed its Shariah-compliant bank facility deal with Banque Saudi Fransi (SASE:1050). The 376.2 million-Saudi-riyal funding will be used for projects.2P shares closed 5.85% in the red. Banque Saudi Fransi, on the other hand, shares were 1.30% in the green at closing.In other corporate news, Umm Al Qura for Development and Construction Co. (SASE:4325) shares ticked down 1.88% as it plans to divest four land plots in Masar Destination for a total of 603.8 million riyals.
