Stocks in Saudi Arabia Hit 3-1/2-year Low

TASI decreased to 10191.00 Index Points, the lowest since March 2023. Over the past 4 weeks, Tadawul All Share TASI Index lost 5.44%, and in the last 12 months, it decreased 12.73%.

Saudi Arabia’s benchmark stock index, TASI, fell by as much as 5% to 10,214 at Sunday’s open, its lowest level since March 2023, before recovering to around 10,700 as investors assessed the implications of U.S. and Israeli strikes on Iran. In retaliation to attack, Iran moved to restrict traffic through the strategic Strait of Hormuz, a critical transit route for roughly one-fifth of global oil supply and significant volumes of natural gas, and launched attacks across neighbouring states, including Saudi Arabia. While escalating tensions in the Middle East are likely to disrupt regional economic activity and weigh on investor sentiment, oil prices are expected to surge. Higher crude prices could provide support to Saudi Arabia’s economy, given its position as one of the world’s leading oil exporters.

TASI decreased to 10214.00 Index Points, the lowest since March 2023. Over the past 4 weeks, Tadawul All Share TASI Index lost 5.91%, and in the last 12 months, it decreased 11.58%.