Saudi Arabian shares rose to the highest in four months after global markets rallied on reports indicating the US and German economies are growing. The Tadawul All Share Index gauge jumped 0.28 percent to 6,453.13 at close on Saturday, the highest level since May 18, led mainly by a 0.6 percent rise in the heavyweight petrochemical stocks index. Saudi Basic Industries Corp and Al Rajhi Bank led the advance. Tadawul has gained 6 percent this month. “Investor sentiment continues to improve in Saudi Arabia,” said Anas Kassem, an investment analyst at Ajeej Capital in Riyadh. “Investors here are taking positions before the announcement next month of third-quarter earnings,” said Abdulhamid Al-Amri, a member of the Saudi Economic Association. “They expect petrochemical stocks' quarterly earnings to be about SR5.5 billion to SR6 billion below their level in the previous quarter, but they will still be above their level in the third quarter of 2009,” he added, noting that banks are expected to do better. – SG
