Saudi bourse rebounds; Aramco’s profit soars 82 per cent in Q1

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Saudi bourse rebounds; Aramco’s profit soars 82 per cent in Q1

On Sunday, major Gulf bourses ended mostly lower but Saudi, as the Kingdom of Saudi Arabia’s benchmark index rebounded sharply following a sharp decline in the previous session, however, Qatari index stretched out its losing run.

In point of fact, as many Gulf stocks lost ground on Sunday over frets of fast-rising inflation that might have led to a sharp pick up in interest rates, eventually putting the global economy at the risks of a recession, Saudi bourses rose following Aramco’s upbeat quarterly earnings’ report.

The state-backed Saudi oil giant and the world’s most profitable company above Apple Inc as Americans were reportedly failing to afford Apple products amid a sky-scrapping inflation-surge, had reported an 82 per cent rise in profits over the first quarter.

Saudi bourse jumps as Aramco profit soars 82 per cent in first quarter

Citing statistics, in the day’s Gulf market wind-down, the Saudi’s benchmark index took a giant leap of as much as 2.5 per cent with Al Rajhi Bank gaining as much as 3.6 per cent in context of a rate-hike lurking over the horizon.

On top of that, Saudi Aramco climbed as much as 4.2 per cent after reporting an 82 per cent surge in Q1, 2022 profit compared to the same time a year earlier. Aramco had reported a net earning of $39.5 billion over the quarter that ended on March 31, mostly riding on the back of a blistering surge in gasoline prices.

US gasoline prices had spiked to a record $4.432 per gallon on last Friday. Nonetheless, although oil prices have traditionally been a key catalyst for Gulf bourses, most Gulf bourses ended either flatlined or lower despite a 4 per cent rise in crude oil futures’ prices on Friday.

Outside the Gulf, Egypt’s blue-chip index dipped 1.4 per cent, while Commercial International Bank shed 1.4 per cent. Elsewhere in the Gulf, Qatar shed over 2 per cent, Bahrain added 0.6 per cent and Omani bourse rounded off the session flatlined.