Most Important News

• SAMA Lowers Rates by 25 Basis Points
• RIBL Plans to Repurchase 7,500,000 Shares
• Red Sea Subsidiary Expands Financial Facilities with Saudi Awwal Bank
• EQTY Lab Launches Verifiable Compute AI Framework with Intel and NVIDIA

1. Market Summary

Saudi Arabia's Tadawul All Shares Index(TASI.SA)  bounced back from losses in the previous session, inching up 0.1%. Saudi Arabian Oil Co.(2222.SA)  rose 1.1%, while Savola Group(2050.SA)  surged 10% to hit an eight-month high.

The Dow Jones Industrial Average(DJI.US)  lost 1,123.03 points, or 2.58%, to 42,326.87, for its worst losing streak since an 11-day slide in 1974. The Wednesday decline was its worst since August and only the second time it lost 1,000 points this year in one session. The S&P 500 index(SPX.US)  lost 2.95% to 5,872.16 and the NASDAQ(IXIC.US)  shed 3.56% to 19,392.69 with losses intensifying into the close of trading.

2. Quick News

Saudi Central Bank Lowers Rates by 25 Basis Points

Following the Federal Reserve's decision to cut U.S. interest rates by 25 basis points on Wednesday, Saudi Arabia's central bank(SAMA) has also made a move to lower its repurchase agreement (repo) rate by 25 basis points to 5%, according to an official statement. Additionally, the reverse repo rate has been reduced by 25 basis points to 4.50%.

Saudi Arabia Praised for Labor Market Achievements by GLMC

Saudi Arabia has been recognized for its exceptional efforts in tackling labor-market challenges and fostering skill enhancement and requalification, as highlighted in the inaugural annual report by the Global Labor Market Conference (GLMC). The GLMC report, which was compiled with the active participation of 14,000 individuals from 14 countries across the globe

US Stock Market Suffers Selloff Following Powell's Comments on Interest Rates

The US stock market saw a sharp decline on Wednesday in response to comments made by Federal Reserve Chair Jerome Powell. The downturn occurred after Powell announced a 25-basis-point interest rate reduction, bringing rates to a range of 4.25%-4.5%, and indicated that there may only be two potential rate cuts in 2025. 

3. Stocks To Watch

KSA Stocks

RIBL Approves Share Buyback for Employee Stock Incentive Plan

Riyad Bank(1010.SA)  has announced that its Board of Directors has recommended a share buyback for the Employee Stock Incentive Plan. The bank plans to repurchase 7,500,000 shares, which currently represent 0.167% of the treasury shares at the company. This initiative aims to enhance shareholder value and align the interests of employees with those of existing shareholders. 

Red Sea Subsidiary Expands Financial Facilities with Saudi Awwal Bank

Red Sea International Co.(4230.SA)  has announced that its subsidiary, The Fundamental Installation for Electric Work Co. Ltd., has signed an agreement to increase the limit of its financial facilities with Saudi Awwal Bank (SAB) by SAR 100,000,000. This amendment raises the total value of the facilities contract to SAR 296,107,000. The increase is an amendment to the original agreement dated January 7, 2024, which was valued at SAR 196,107,000 and involved both parties. 

EXTRA Plans to Repurchase Up to 3 Million Shares as Treasury Shares

United Electronics Co.(4003.SA)  has declared its intention to repurchase up to 3 million of its own ordinary shares to hold as treasury shares. The decision by the Board of Directors is based on the belief that the company's market share price is currently trading below its fair value. This strategic move could potentially increase the value of the remaining shares in the market and signal confidence in the company's future prospects.

Theeb Rent a Car Co. Opens 60th Branch in Al-Kharj

Theeb Rent a Car Co.(4261.SA)  has announced the opening of its 60th branch, located in Al-Kharj, Al-Muneifiyah District, on King Abdulaziz Road (Riyadh Road). This new branch is a significant expansion for Theeb Rent a Car's network in the central region, increasing the branch count in this area to 15. The inauguration of the Al-Kharj branch brings the total number of Theeb branches throughout the Kingdom to 60.

USA Stocks

FedEx to Report Q2 Earnings, Analysts Anticipate $3.91 EPS on $22.12B Revenue

FedEx Corporation(FDX.US)  is set to report its second-quarter financial results following the market close on Thursday. Analysts are forecasting the company to report earnings of $3.91 per share, with quarterly revenue expected to reach $22.12 billion. This comes after FedEx reported underwhelming first-quarter results in September, with adjusted earnings nearly 25% below consensus estimates.

EQTY Lab Launches Verifiable Compute AI Framework with Intel and NVIDIA

EQTY Lab, in partnership with Intel Corporation(INTC.US)  and NVIDIA Corporation(NVDA.US) , has unveiled the Verifiable Compute AI framework, marking a pioneering step in AI technology. This framework is the industry's first hardware-based solution designed to govern and audit AI workflows, ensuring that AI operations are not only explainable and accountable but also secure in real-time. 

4. Saudi Stock Calendar