Saudi Arabian shares ended 2020 higher, outperforming other Middle East markets in a pandemic-ravaged year on the back of a recovery in oil prices and strong inflows, while Egyptian equities declined the most in the region.
Middle East stocks had fallen between 13% and 36% in the first quarter as the spread of COVID-19.
“The global distribution of vaccines and the process of vaccination in the GCC (Gulf Cooperation Council) region would instil further confidence in investors”, said Junaid Ansari, acting head of investment strategy and research at Kamco Invest.
The Saudi index closed down 0.8% on Thursday, but rose 3.6% in 2020 to log its fifth straight yearly gain.
“The recovery in crude oil prices to around the USD 50/b level supported TASI in H2-2020,” Ansari said.
The Dubai index dropped 1% to end the year down 10%, having declined as much as 36% in the first quarter. Meanwhile, Abu Dhabi’s index eased 0.8% and lost 0.6% in 2020.
Kuwait’s stock market also slipped 0.1% to record a 13.3% yearly loss.
Bahrain’s index fell 7.5% in 2020 to log its first yearly decline in five, while the Omani index shed 8.1% for the year, extending losses to a fourth consecutive year.
