JEDDAH – Saudi shares rose to the highest level in a month, led by petrochemicals, banks and telecommunication companies, on optimism about fourth-quarter earnings. The stock benchmark Tadawul All Share Index gained 0.8 percent to close Saturday at 6823.8 points, the highest since Nov. 14. “The Saudi market is up today as investors are optimistic about fourth-quarter earnings coming out soon as well as the issuance of the Saudi government budget for this year,” Turki Fadaak, head of research and consultancy, Albilad Investment Company, said. Sabic advanced to the highest since Dec. 9 by 0.8 percent to SR91.5, and STC climbed 2.4 percent to SR42.5, to the most in more than two months. Al-Rajhi Bank climbed the most in five days, increasing 1.2 percent to SR65.25. The price of oil ended higher Friday on positive signs for manufacturing in the US and China. Benchmark crude rose 84 cents to end at $86.73 per barrel on the New York Mercantile Exchange. Brent crude, used to set prices for international varieties of oil, rose $1.72 to finish at $108.18 a barrel on the ICE Futures exchange in London. A survey of purchasing managers showed that manufacturing activity expanded in China this month. And US data showed that the nation's factories have rebounded from Superstorm Sandy. Both reports indicate that energy consumption could be on the upswing in the world's two biggest economies. Still, traders are concerned that President Barack Obama and Republican leaders are far from reaching a deal to reduce the US budget deficit before the end of the year. Without an agreement, significant tax increases and government spending cuts will automatically take effect. — SG/Agencies
