Saudi market cap surges 463pc
The market capitalisation of Saudi Stock Exchange (Tadawul) has surged by 463 percent over the last ten years to reach $2.7 trillion at the end of 2024, making it the largest equity market in the Middle East, according to S&P.
The significant growth has been driven by the kingdom’s drive to boost market liquidity by getting local companies listed, with the 91 initial public offerings (IPOs) between 2014 and 2024 raising an aggregate of around $65 billion.
With the flurry of listings, the number of issuers on Tadawul’s main market jumped to 247 in 2024 from 169 in 2014.
The main bourse has logged the highest trading volumes in the GCC region, and it is now ranked as one of the largest exchanges among emerging markets in terms of market capitalisation, the ratings agency said. It is also the largest emerging equity market outside Asia.
Banks drag Australian shares lower
Australian shares slipped on Thursday, dragged by banks, after lender ANZ Group reported flat first-half cash earnings and flagged margin pressures due to high interest rates and living costs.
The S&P/ASX 200 index fell 0.3 percent to 8,157.50, as of 0040 GMT.
The benchmark climbed 0.3 percent on Wednesday.
Financial stocks fell 0.8 percent, weighing the most on the benchmark.
ANZ Group declined as much as 2 percent to hit its lowest level since April 29, after the country’s fourth-largest lender by mortgages reported largely flat first-half cash earnings, as competition in the home loan market and a rise in asset impairments hurt its performance.
The remaining three of the ‘big four’ banks were down between 0.4 percent and 3.6 percent.
China, HK stocks hover near 1-month highs
China and Hong Kong stocks flirted with one-month highs on Thursday, recovering ground lost since US President Donald Trump’s “Liberation Day” tariffs last month, as Beijing’s rate cuts and stimulus measures helped calm trade concerns.
China’s blue-chip CSI300 Index climbed 0.8 percent by the lunch break, while the Shanghai Composite Index gained 0.4 percent. In Hong Kong, the benchmark Hang Seng Index rose 1.1 percent.
China cut its policy rate by 10 basis points on Thursday, part of a package of measures aimed at buttressing an economy bruised by the crushing Sino-U.S trade war. Other policies announced on Wednesday include reducing the amount of cash that banks must hold as reserves, and efforts to stabilize financial and property markets.
Japan’s Nikkei rises
Japan’s Nikkei share average edged up on Thursday as chip-related shares tracked a rally in US semiconductor stocks, while NTT Data was set for a 17 percent jump following a takeover report.
The Nikkei added 0.23 percent to 36,863.15 by the midday break, after breaking a seven-day winning run on Wednesday.
The broader Topix fell 0.18 percent to 2,691.36 and was poised to snap a nine-session rising streak.
“The two main indexes have recouped their losses quickly (since US President Donald Trump’s tariff announcement last month), but the speed of the recovery has slowed down,” said Seiichi Suzuki, chief equity market analyst at Tokai Tokyo Intelligence Laboratory.
“Investors have become cautious as the Nikkei approached the psychological level of 37,000.”
Overnight, US stocks rallied close to the closing bell as chipmakers jumped after Bloomberg reported Trump’s administration plans to rescind artificial intelligence chip curbs.
Indian shares set for muted start
India’s benchmark indexes are likely to open little changed on Thursday amid escalating tensions with neighbour Pakistan and as the U.S. Federal Reserve said that risks of higher inflation and unemployment have risen due to the global trade war.
The Gift Nifty futures were trading at 24,422, as of 7:52 a.m. IST, indicating the Nifty 50 will open around Wednesday’s close of 24,414.4.
Pakistan vowed to retaliate against Indian air strikes on Wednesday that came in the aftermath of an attack by Islamist militants on Hindu tourists that killed 26 people in Indian Kashmir last month.
Sri Lankan shares fall
Sri Lankan shares closed lower on Wednesday, led by declines in industrial and financial stocks.
The CSE All-Share index settled 0.75 percent lower at 15,841.60 points.
Ceylinco Holdings and Sathosa Motors were the top losers by index points, down 100 points and 64.75 points, respectively, on the day.
Trading volume on the index rose to 202.66 million shares from 64.75 million shares in the previous session.
The equity market’s turnover rose to 3.2 billion Sri Lankan rupees from 1.49 billion rupees in the previous session, according to exchange data.
European shares slip
European shares ended lower on Wednesday, pausing after weeks of strong gains, while investors monitored a raft of corporate earnings ahead of the US Federal Reserve’s rate decision later in the day.
The pan-European STOXX 600 index closed 0.5 percent lower, while other regional indexes also ended their day in the red.
European retail stocks led sectoral losses with a 2 percent fall. Data showed a more-than-expected decline in eurozone retail sales on a month-on-month basis in March.
Healthcare shares fell 1.8 percent. Shares of drugmakers AstraZeneca, GSK and Sanofi fell between 1.8 percent and 4.3 percent after the US FDA appointed on Tuesday agency critic Vinay Prasad as its top vaccine official.
European equities have recovered their sharp losses from early April, primarily because of several indications that US-China trade tensions could de-escalate.
“They’ve (European indices) had a strong recovery from the April lows at the beginning of this week. So we’re just having a little bit of breathing space,” said Fiona Cincotta, senior market analyst at City Index.