To the wave of decline. The investors of the Saudi Stock Exchange between caution and seizure opportunities

The Saudi stock market is expected to be subjected to shares or seizes, the prices of which have dropped significantly to a series of losses that lasted 5 sessions, all the profits achieved by the general index during the current year. The “Tassi” index ended Sunday transactions, with low 0.6% at 12035 points, which is the lowest closing level since December last year, due to the decline in the sectors of banks, communication and basic materials affected since the unprecedented results of petrochemical enterprises. The shares of Aramco have violated the leadership shares, 0.37%, amid anticipation to announce the company’s results and cash distributions tomorrow. “The index broke during a very short period, important technical and psychological level, to land from 12400 points. The most important support is now the moving average for a period of 200 days of 12013 points,” said Hisham al -ayas, the “East” chief financial analyst. He added that “the market is at risk of speculating or capturing opportunities for shares that have dropped a lot.” The value of trading in yesterday’s session was the first trade sessions in Ramadan, 3.4 billion Riyals, which is much lower than the three -month average. Although calm is usually in Ramadan’s first sessions, Ahmed Al -Brashid, the first financial analyst of the newspaper ‘Al -iqtisadiah’, believes that the low value of trade in the last session is not related to the entry of the holy month. He said the trade values ​​”decreased with the fall in the market earlier. In recent weeks there was a decline in liquidity rates, it was at 7 billion Riyale and then dropped to 6 billion and every week we found that the liquidity rate dropped,” which reflects the prudence of investors in the market. ‘A cruel decline’ due to petrochemical, Abd Rabbu Zidan, head of research and studies at ‘financing numbers’, believes that the results of the petrochemical enterprises were the most important factor in entering the Saudi market he mentioned the wave of’ hard refuge at the end of last month. ‘The shares of all petrochemical enterprises in the Saudi market dropped in the last session to pay the basic material index to fall by 0.65%, with the price of “sabian” shares by 0.32%, “Yanbil” by 1.29%, “Kayan” by 2.14%and “advanced” by 2.43%. Most of the petrochemical companies announced disappointing results for the last quarter of last year, and ‘Sabic’, the largest petrochemical company in the kingdom, warned against the continued suffering of the petrochemical sector due to the abundance of supply and the decline in prices and geopolitical conditions. Petrochemical companies around the world are experiencing pressure due to high costs and the decline in profit margins, amid constant concerns about the growth of the global economy and the level of demand, especially in China, the largest consumer in the world, in addition to the expected negative consequences of the possibility of performing new US Customs definitions that can make the recovery more difficult.