مؤشر تاسي السعودي يستعيد مستوات 12300 نقطة بجلسة الإثنين

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00:00Let's move directly to Riyadh, Mr. Mohammad Al-Omran, Head of the Gulf Central Bank for Financial Consultations, joins us.

00:10Mr. Mohammad, welcome to us and thank you for being here.

00:13Today, there is a movement around the level of 12,300 points.

00:17We have seen from the middle of the session that the market is trying to reduce it,

00:20but it is clear that the payment of the banks' movements today contributed in an essential way to the rise of the market,

00:26especially after the successful data that strengthened the share above level 80.

00:31Despite the references that we are seeing even for oil prices,

00:35how much will the announcement of the results, especially for the leading banks, support the market?

00:40In the name of God, the Merciful, the Compassionate.

00:42There is no doubt that the financial results are the focus,

00:46and specifically the leading companies, and among them, of course, the banks.

00:50Today, we consider it Bank Day, because the biggest banks have almost announced,

00:54and therefore, the initial picture of the overall profits of the banking sector has greatly increased

01:02after the announcement of Al-Rajhi Bank, Al-Ahly Bank, Al-Riyadh Bank,

01:06Al-Arabi Bank, of course, a few days ago, also Al-Bilad Bank, and many other banks.

01:12In fact, all the results I see are more than wonderful.

01:15There is a very strong growth in the willingness of private currencies to improve their annual profits,

01:23although it is a kind of stability compared to individual profits.

01:27But the evidence in the matter is that there is also an improvement in growth rates,

01:32growth of assets, growth of funding, growth of investment, and also the subject of growth of deposits.

01:37The subject of financial specialties remains,

01:42perhaps about two or three banks had an increase,

01:46in fact, a surprise in the financial specialties,

01:49almost Al-Ahly Bank and Al-Bilad Bank,

01:52but the rest of the banks, we can say, had a kind of stability or a kind of reduction in the financial specialties.

01:58But if we ignore the subject of specialties,

02:02of course, the banks maintained growth rates more than wonderful,

02:07whether it was an annual growth or a separate growth,

02:10an improvement in the profits, and as we said, an expansion in its activities.

02:15But today, there is also a positive factor,

02:18that is, the support of the banking sector, we must not ignore,

02:21the subject of petrochemical companies,

02:24because the basic material sector today was also very strong,

02:28almost 3%, because in general,

02:32the results of petrochemical companies showed a kind of shy improvement,

02:37we can say, Yansab, Kayan, before them Sebkem, and other companies,

02:42and therefore, there is a lot of betrayal and risk that investors are facing,

02:49they bet that the petrochemical sector will improve,

02:54and therefore, today we saw very strong purchases in petrochemical companies,

02:59and therefore, it gave a strong rise to the basic material indicator,

03:03alongside, of course, the banking sector.

03:06We can say that these two sectors are the ones that supported the indicator today,

03:10and we can say that after four consecutive weeks,

03:13from the decline from levels above 12,800 to levels of 12,180,

03:21or 280, as you remember,

03:23today we really started to see the construction of a new, rising channel,

03:27we hope that it will be a strong channel,

03:29but of course, there is a primary indicator for buying,

03:33and therefore, we can say that there are obstacles,

03:36because the direction will be more certain if we penetrate the 12,500 in the coming days.

03:42We can say, Mr. Mohamed, that the bank sector profitability indicators

03:46have now become, and are still tempting now,

03:48to enter and purchase operations for the market,

03:51if we do not decide on the indicators of profitability as a whole?

03:57I do not want to talk about the subject of repetitions and assessments,

04:01because it is generally high,

04:03whether in the Kingdom or outside the Kingdom,

04:06but I think the biggest focus is on growth,

04:08there is very strong growth,

04:10and therefore, when there is growth,

04:12brokers mostly, or professional brokers,

04:15ignore the subject of assessments and repetitions,

04:18temporarily, at least, they demand that there is growth,

04:21and this growth is improving,

04:23and therefore, they take a bigger risk.

04:25If we look in general at the profitability of stocks,

04:28and the return it is giving compared to market prices,

04:31I am sure it is not encouraging, unfortunately,

04:34until this moment,

04:36the return that the bank gives on deposits,

04:39or on securities and bonds,

04:41is much higher than the return on shares.

04:43But brokers, professionals,

04:45they take a risk based on growth indicators,

04:48in the first degree,

04:50and how much this growth improves,

04:52because they try to buy things they see as cheap,

04:55depending on growth,

04:57and therefore, the subject of assessments and repetitions

05:00is temporarily ignored,

05:02because they are, as you know, hot funds,

05:04means hot money,

05:06it comes and goes,

05:08depending on their vision of the opportunity of growth,

05:10where it is, in which sectors,

05:12and in which companies,

05:14and therefore, they take their risk

05:16based on a very high level of growth,

05:18without temporarily ignoring, at least,

05:20the subject of assessments and repetitions.

05:22Okay, you talked about the petrochemical fight,

05:24that the investor started to think

05:26that there is some kind of improvement

05:28in the petrochemical sector, Mr. Mohamed,

05:30and this appeared, perhaps, in a competitive move,

05:32we see it on SABIC today,

05:34a good rise on SAHM and others,

05:36and also from Assom.

05:38On what basis is the investor building

05:40today the decision to improve the sector,

05:42in your opinion?

05:44A very nice question,

05:46because always the primary and competitive signs

05:48of the petrochemical sector

05:50is the improvement of economic conditions

05:52and industrial activities

05:54in Asian countries,

05:56China, India, and others.

05:58Therefore, the professional investor

06:00always monitors the situation in China

06:02and the developing countries

06:04in the Asia region,

06:06and on this basis,

06:08he is trying to do competitive actions,

06:10of course, there is a risk,

06:12but he is betting that

06:14as long as there are primary indicators

06:16to improve industrial activities

06:18and economic activities in general

06:20in China, Korea, India,

06:22and other things,

06:24he will try to buy

06:26the petrochemical companies

06:28in the United States,

06:30especially that this is in conjunction

06:32with an improvement,

06:34even if it is shameful,

06:36as we mentioned earlier,

06:38in terms of financial results.

06:40In general, there is an improvement

06:42in profitability,

06:44some of them reduced losses,

06:46but in general,

06:48from the reality of about

06:50four or five petrochemical companies,

06:52there is an improvement,

06:54even if there is an increase in sales,

06:56or if there is a reduction in losses

06:58or a turn to profit.

07:00The results are also related

07:02to the levels that we are seeing

07:04will enter the market.

07:06Mr. Mohamed Miah here today

07:08is also determining the price range

07:10between 10.5 to 11.5 Riyals.

07:12How much will be distributed today

07:14by the investment banks

07:16between the new levels

07:18and the focus on the companies

07:20in the new levels?

07:22There is no doubt that the interest

07:24of investors is very strong

07:26in the fact that they market

07:28primary securities,

07:30and therefore there is a large

07:32share, meaning they focus

07:34their activities on entering

07:36primary securities,

07:38because usually a better return

07:40is achieved for them,

07:42as long as the allocation is good

07:44and the price of interest

07:46after the acquisition is very high.

07:48Therefore, this has raised

07:50the interest of investors

07:52in the primary securities market,

07:54which is still very strong,

07:56and I think it will continue

07:58over the short term,

08:00at least with the same strength

08:02and not be stronger than before.

08:04Do investors share

08:06between the primary market

08:08and the secondary market?

08:10This may be present,

08:12but at the moment

08:14I think there is a kind

08:16of concentration,

08:18that is, some of them focus

08:20greatly on the secondary market

08:22and relatively ignore the liquidity

08:24in the market, unless it is necessary,

08:26if there is no allocation.

08:28For example, some liquidity

08:30is forced to be transferred

08:32to the secondary market,

08:34and some of them, of course,

08:36focus on the secondary market

08:38and do not enter the primary

08:40securities market at all,

08:42since it requires large amounts

08:44of liquidity.

08:46Of course, in the current situation,

08:48as long as the market is high

08:50and the primary securities market

08:52achieves great profits,

08:54of course, both sides will achieve

08:56profits, but of course relatively

08:58between investors and others,

09:00but the important thing is that

09:02the desire is very high to take

09:04the risk from both sides,

09:06as long as there is improvement

09:08and growth, as we said,

09:10in both cases,

09:12and in other cases,

09:14such as rising interest rates

09:16and others, which in fact

09:18is a large chip,

09:20they temporarily ignore it

09:22in light of the continuation

09:24of growth rates and high liquidity

09:26that support the risk-taking

09:28and thus enhance the buying process.

09:30We thank you, Mr. Mohamed Al-Omran,

09:32President of the Gulf Central Bank,

09:34for the financial consultations.

09:36You were with us from Riyadh.

09:38Thank you.

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