Al Masah Capital Weekly Report: Mena markets generally cautious; buying picks up in Egypt and Saudi


Saudi Arabia went up by 1.11% as it finally reacted to oil staying above $50

al masah capital logoOil prices ended last week in the USD51.5 – USD52 range resulting in MENA markets maintaining a cautious approach with the exception of Egypt and Saudi. UAE markets were mainly down with Dubai and Abu Dhabi showing weakness of -0.59% and -0.97% respectively coupled with subdued volumes. Saudi Arabia went up by 1.11% as it finally reacted to oil staying above $50 but investors are still being cautious about the country’s economic situation with fears of further austerity measures and doubts about OPEC’s next meeting reaching an agreement.

Egypt went up by 1.6% over the week driven mainly by the news about the Egyptian pound devaluation expectations, coupled with the news that the central bank received a USD 2 billion deposit from Saudi Arabia with both actions seen as important steps towards getting the long waited IMF loan.

The first two weeks of October have cancelled each other out meaning we still have no discernible direction to the month. As we head into the week, eyes will stay on how oil trades around $50 and 3rd quarter earnings announcements will be analysed for economic trends. Optimistic signs indicate if Saudi and Egypt continue their positive trend for the month, the other markets may start to follow.

Indexes Last WTD (%) MTD (%) YTD (%)
Dubai (DFMGI) 3,334.94 -0.59% -4.01% 5.84%
Abu Dhabi (ADSMI) 4,347.20 -0.97% -2.88% 0.93%
Saudi (SASEIDX) 5,693.96 1.11% 1.26% -17.62%
Kuwait (KWSE) 5,328.00 0.15% -1.30% -5.11%
Egypt (EGX30) 8,505.12 1.63% 7.92% 21.40%
Qatar (DSM) 10,389.96 0.32% -0.44% -0.38%
Bahrain (BHSEIDX) 1,144.57 0.66% -0.47% -5.87%
Oman (MSM30) 5,660.22 0.90% -1.15% 4.70%
TR GCC (Reuters) 197.51 0.00% 0.00% 1.58%
DJ MENA 463.15 0.17% -3.21% -6.99%

About Al Masah Capital:

Al Masah Capital is one of the fastest growing alternative asset management and advisory firms focused on the MENA and SEA regions. Established in 2010 Al Masah Capital provides tailored solutions to a broad investor base, offering private equity advisory (across Healthcare, Education, Food & Beverages, Logistics and other consumer driven sectors), asset management, corporate and real estate advisory as well as public market research services.

With operations in Dubai, Abu Dhabi and Singapore, Al Masah advises qualifying investors on growth opportunities in 13 focus markets in MENA and South East Asia.