Saudi stocks up on fiscal cliff deal

Riyadh, January 1, 2013

Saudi stocks climbed in early trade after the US Senate passed a deal to avert the "fiscal cliff" of tax hikes and spending cuts that threatened to plunge the world's largest economy back into recession.

The biggest Arab stock market's all-share index rose 0.83 per cent. It is sensitive to oil prices, which rose $1 a barrel in New York on Monday because of growing optimism about a fiscal cliff deal.

Most Gulf stock markets were closed on Tuesday for the New Year holiday, but Saudi Arabia and Oman remained open.

Saudi banking stocks rose 0.84 per cent and petrochemical stocks climbed 0.93 per cent, as petchem heavyweight Saudi Basic Industries (Sabic) gained 1.11 per cent.

In Oman, the index edged up 0.02 per cent, with financial shares climbing 0.48 per cent.-Reuters

Tags: Saudi | stocks | Fiscal Cliff |