Saudi market extends steepest fall since crash

[populistdriven]

Published: Thursday, 2 November, 2006, 11:17 AM Doha Time

DUBAI: Saudi shares plunged to their lowest close in almost 20 months yesterday as retail investors scrambled for the door, extending the sharpest decline in the index since a Gulf Arab stock market crash ended in May.

Stocks across the world’s top oil exporting region took their cue from the Riyadh market, the Arab world’s largest, which has fallen almost 12% since it switched on Saturday to a single session and scrapped evening trading, a move which has upset retail investors.

The exchange now closes before most Saudis finish their working day, preventing many retail investors from trading directly on a market where mutual funds account for less than 5% of daily volumes.

"Unifying the trading session in Saudi sent the wrong signal to the market. It was perceived among retail investors that the (Saudi) Capital Markets Authority wants to get rid of retail investors, which is nonsense," said Hani Baothman, chief executive of Saudi-based Aayan Capital.

~snip~

http://www.gulf-times.com/site/topics/article.asp?cu_no=2&item_no=115514&version=1&template_id=48&parent_id=28

[Demeter]

1. How Very Peculiar and Interesting

[Vidar]

2. Awwwww.

[CountAllVotes]

3. awwwwwww

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