DUBAI Oct 14 Saudi Arabia's stock market
declined for a second straight day on Sunday as disappointment
over third-quarter corporate earnings weighed.
Having recorded its biggest one-day drop in over four months
on Saturday, a slide of 1.8 percent, the Saudi bourse
fell once more, by 0.3 percent, to a fresh 11-week low.
Concerns which sent global bourses lower at the end of last
week, including expectations for weak corporate earnings in the
United States and Spain's debt problems, are combining with weak
results Saudi companies to hurt investor sentiment.
"Clearly, the concerns over global growth prospects are
weighing on the market," said Julian Bruce, EFG-Hermes' director
of institutional equity sales.
"But Saudi is looking for a couple of decent numbers from
somewhere and investors are not finding them. We need someone to
come up with something positive to provide support."
Yanbu National Petrochemical Co slumped 3.4
percent, the sixth successive daily fall and the largest one-day
drop since June 2. This followed Saturday's disclosure by the
firm that its third-quarter profit almost halved from last year,
thanks to reduced product prices and a unit shutdown.
Saudi Arabian Fertilizer Co fell 0.4 percent and
Saudi Kayan Petrochemical Co slipped 2.8 percent after
reporting a dip in profits and a widening loss respectively.
Markets in the United Arab Emirates were also buffeted by
external factors, with global cues and the previous day's
performance in Saudi dragging both exchanges lower.
In Dubai, the measure slipped 0.7 percent, erasing
all of the previous session's advance, while the Abu Dhabi
bourse snapped a four-session winning streak, declining
Bucking the trend was Etisalat, which rose 0.2
percent. Its CEO said on Sunday that it would not completely
sell out of any of its foreign markets and that a long-awaited
network-sharing deal with domestic rival du could be in
place in the next three to four months.
Dubai-listed du also ended up 0.2 percent.
Egypt's benchmark declined on the back of weekend
clashes between supporters and opponents of Egyptian President
Mohamed Mursi, ending the day down 0.3 percent.
Liberal opponents of Mursi fought his Islamist supporters in
Cairo on Friday in the first street violence between rival
factions since he took office in June. The health ministry said
110 people were injured.
"The first instant reaction was to sell at the open because
investors feared that the market would go lower during the day,"
said Mohamed Radwan at Pharos brokerage.
Radwan added that institutional buying of real estate stocks
helped provide some support during the middle of the session but
lingering investor worries over the clashes would be the main
Kuwait's measure rebounded from the previous
session's two-week low with a 0.2 percent increase.
Qatar's index also ended higher, gaining 0.1 percent.
Industries Qatar supported, rising 1.1 percent, after
the Gulf's second-largest chemical producer by market value
posted a 23.7 percent jump in third-quarter profit.
In Oman, the measure extended its decline to a third
session, ending the day down 0.1 percent, while Bahrain's bourse
climbed 0.4 percent.
* The index fell 0.3 percent to 6,662 points.
* The index slipped 0.7 percent to 1,625 points.
* The index declined 0.5 percent to 2,642 points.
* The measure dropped 0.3 percent to 5,723 points.
* The measure edged up 0.2 percent to 5,983 points.
* The benchmark rose 0.1 percent to 8,487 points.
* The index eased 0.1 percent to 5,638 points.
* The measure climbed 0.4 percent to 1,070 points.
(Editing by Andrew Torchia)