Riyadh, Saudi Arabia – Saudi stocks dip for a second session on Sunday, as investors locked in gains from last week’s sharp rally, while Qatar’s benchmark index ended modestly higher.
The Tadawul All Share Index (TASI) slipped 0.7% to 11,230 points, dragged lower by a 3.2% drop in Al Rajhi Bank and a 3% decline in Saudi National Bank. The pullback followed Wednesday’s 5.1% surge—the market’s largest one-day jump in more than five years—after reports that regulators may ease the 49% cap on foreign ownership of listed firms, a potential game-changer for inflows into the kingdom’s capital markets.
Analysts said the retreat reflected short-term profit-taking after the rally, rather than a reversal of sentiment. The foreign ownership reform speculation remains a key driver of medium-term optimism for Riyadh’s equity market, which has been positioning itself as a magnet for global funds.
In Qatar, the Qatar Stock Exchange index (QSI) rose 0.2% to close at 10,978, supported by a 1.3% gain in Qatar Islamic Bank.
Across the wider region, oil price strength also played a role. Crude futures rose late last week after Ukrainian drone strikes hit Russian energy infrastructure, disrupting fuel exports. Oil remains a central catalyst for Gulf financial markets, underpinning liquidity and investor sentiment.
Elsewhere, Egypt’s blue-chip EGX30 index advanced 1.4% to 36,166, boosted by a 1.9% rise in Commercial International Bank after shareholders approved a capital increase of EGP 3.07 billion ($63.8 million). Oman’s MSX30 gained 0.8% to 5,159, while Bahrain’s BAX eased 0.1% to 1,950. Kuwait’s BKP slipped 0.3% to 9,334.
For investors, the moves underscore the balance between regional reform-driven optimism and global market volatility. With Saudi stocks dip on profit-taking and Qatar posting steady gains, the Gulf’s markets continue to reflect a mix of local catalysts and global energy dynamics.
