Most Arab stock markets closed lower this week amid continuing concerns over the outcome of the Dubai World debt rescheduling talks, financial analysts said Friday, according to dpa. They expected regional markets to be relatively steady next week as the year 2009 draws to an end, and predicted investors would keep a close eye on the 2009 annual results of listed firms and movement of oil prices. "We believe the outcome of Dubai World rescheduling negotiations with creditors will continue to put pressure on Arab bourses in the coming weeks," an Amman-based portfolio manager told German Press Agency dpa. "Investors will also focus on the yearly corporate results and the movement of oil prices, without excluding window-dressing operations at the end of the year," he said. Saudi shares extended gains this week, buoyed by the positive performance of blue chips, particularly the banking and petrochemical sectors. The Tadawul All Share Index (TASI) of the Arab world"s largest stock exchange gained 1.5 per cent this week, closing at 6,243.93 points. TASI is currently 30 per cent higher than at the year"s start, according to the weekly report of the Riyadh-based Bakheet Investment Group (BIG). The market received support from the announcement by the Saudi Arabian Basic Industries Corp. (SABIC) that the petrochemical conglomerate would be distributing a cash dividend of 1.5 Saudi riyalsfor 2009. The SABIC share also benefited from the declaration by the CEO Mohammad al-Mady that the case with China was closed and that India was expected to withdraw its case against the firm. Saudi stocks also drew backing from the 2010 Saudi public budget, which envisaged the spending of 540 billion Saudi riyals (143 billion dollars), representing 16 per cent increase over last year"s projections. "After the release of the Saudi budget, investors" eyes will focus on the annual financial results of the listed companies, especially the blue chip stocks of the banking and petrochemical sectors which will determine the direction of the market," the BIG said. Jordanian shares plummeted this week under selling pressures prompted by lack of liquidity and receding confidence, analysts said. The all-share price index of the Amman Stock Exchange plunged 2.45 per cent, closing at 2,535 points, according to the ASE weekly report. Kuwait"s KSE all-share index shed 0.7 per cent closing week at 7,056 points. The benchmarks of the United Arab Emirates stock exchanges of Dubai and Abu Dhabi plummeted 6.4 per cent and 2.7 per cent this week, to close respectively at 1,759 points and 2,699 points. The decline was attributed by Haitham Orabi, CEO of Dubai-based Gulf Mina Company for Alternative Investments, to the "ambiguity which still surrounds the Dubai World debt rescheduling talks." Egypt"s AGX30 index, measuring the performance of the market"s 30 most active stocks, declined 1.5 per cent this week, closing at 6,380 points from 6,478 points last week.
