JEDDAH: Saudi Arabian shares tumbled the most in almost three months in the first trading of the week Saturday, led by petrochemical companies, after a smaller-than-forecast increase in US payrolls heightened concern that a slower economic recovery will curb oil demand. The stock benchmark Tadawul All Share Index fell 1.73 percent to close at 6,624.95 points, the biggest loss since March 15. All 15 industry groups dropped. Saudi Basic Industries Corp. and National Industrialization Co. fell more than 2 percent. Al Rajhi Bank, the kingdom's largest publicly traded lender by market value, declined 1.7 percent. The US economy added the fewest number of workers in eight months in May and unemployment unexpectedly rose to 9.1 percent, according to a Labor Department report Friday. "Investors are worried that demand for oil will drop after yesterday's negative US jobs data," Turki Fadaak, an analyst with AlBilad Investment Co., said in Riyadh. "The possibility of OPEC increasing oil output also heightened concern." The Organization of Petroleum Exporting Countries will respond at its June 8 conference in Vienna if the world needs more crude, Saudi Oil Minister Ali Al-Naimi said on June 2. Oil in New York dropped 0.2 percent Friday. Crude for July delivery settled at $100.22 a barrel on the New York Mercantile Exchange. Prices declined 0.4 percent this week. Saudi Arabia holds one-fifth of the world's proven oil reserves. SABIC declined 2.6 percent to SR104.25, the lowest price since March 29. National Industrialization, the petrochemicals maker known as Tasnee, fell 2.3 percent to SR42.80. Al Rajhi dropped 1.7 percent to SR74.25, the largest loss since March 14. The MSCI All-Country World Index slid 0.4 percent Friday, bringing its three-day retreat to 2.4 percent. The Standard & Poor's 500 Index fell 1 percent and the Stoxx Europe 600 index declined 0.4 percent.
