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Gulf Arab shares perform mixed amid Saudi anti-corruption campaign
Last Updated: 2017-11-07 08:32 | Xinhua
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Stock indexes in Gulf countries performed uneven in volatile trading sessions on Monday as Saudi Arabia arrested a number of princes and officials over corruption charges.

The Saudi Stock Exchange showed much resilience as its Tadawul-All Share Index closed at 6,984.87, up by 0.09 percent.

The Dubai Financial Market declined by 1.16 percent to hit 3,544.08, representing a five-week low.

Markets in Abu Dhabi and in Kuwait fell by 0.35 percent and 2.3 percent respectively, while gauges in Frankfurt, Paris and Tokyo also landed slightly in the red.

Indexes of Shenzhen and London, however, bucked the trend with modest gains.

Saudi has taken strict steps to fight corruption recently, as 11 princes and 38 sitting and former senior officials were arrested on Sunday over corruption charges.

Saudi's Foreign Minister Adel Al-Jubeir said earlier that the move was to let companies know that "if they come to Saudi Arabia, they can compete fairly with any other company and that the local companies do not get better deals because of their influence."

Among the detained was Saudi billionaire Prince Al-Waleed Bin Talal, whose Kingdom Holding plummeted by 5.26 percent to 9 Saudi riyals (2.4 U.S. dollars), a multi-year low.

The prince holds 4.9 percent in Citi and 5 percent in the microblog service Twitter, among other international investments.

The Arabian-American Oil Company (ARAMCO) lifted the oil price to a 28-month high at 56.24 dollars, but it has removed the listing plans of energy giant Saudi ARAMCO, scheduled for the second half of 2018.

Earlier last week, U.S. President Donald Trump urged ARAMCO to list on the New York Stock Exchange to compete with London's bid to list 5 percent of ARAMCO worth around 100 billion dollars.

Josef Schuster, CEO of Chicago-based financial products and research firm IPOX Schuster, considered a dual-listing of ARAMCO on both London and New York exchanges "a must."

"Although more international investors are waiting to join the Saudi market, the world's two largest stock exchanges NASDAQ and NYSE are located in theUnited Statesand stocks listed and traded there can be bought by anybody without regular restrictions or burden," he added.

Schuster said the London market could not digest the liquidity an ARAMCO IPO requires.

The latest major dual-listing of a Gulf firm was global port giant Dubai Ports (DP) World, who exited from the London market in 2014.

Earlier in the day, DP World said it would develop a greenfield economic free zone in Somaliland to complement the development of the Red Sea port of Berbera.

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