With 5mln Shares Changing Hands for SR228 mln, in Tadawul

On Monday, October 4, 2021, the Saudi stock exchange index dropped 8.5 points, during the auction session.

It finished at 11,466.91 points, down from 11,475.39 before the auction.

As many as 6713 transactions were completed during the trading period, as 5 million shares have change hands, resulting at a closing price of SR227.5 million.

Shares of 48 cormpanies witnessed a rise, led by Al Sharqiya Development by 1.1%. 0.8% Bupa,SABB Takaful 0.7%. Glides 0.6%. Othaim, Almarai, and Mobily 0% apiece.

Shares of 74 other companies declined during the auction period.

Led by the Red Sea at 1.2%. Ceramics and electrical industries and Al Rajhi 0.8% for each. Borouge has slipped 0.6%, Al Waha 0.5%, and Theeb 0.5%, respectively.

The closing auction is claimed to be used to determine the market’s closing price.

Closing price is determined by using (auction mechanism) that considers supply and demand during the closing auction period, in order to arrive at a fair price.

During the 10-minute closing auction, the equilibrium price is calculated.

The closing auction begins at 3:00 p.m. and ends at 3:10 p.m., following the end of continuous trading (session – the market is open).

On a daily basis, the closing price is derived when orders are processed at 3:10 pm + a maximum of 30 seconds, as an extra time.

Only regular deals are used to compute the closing price, which is the deal price for shares worth more than SR15,000.

In the absence of a typical deal, the closing price is determined through using the price of the most recent continuous trading deal.

If no deals are made during continuous trading, the closing price is determined using the previous day’s closing price.

Market orders are published in the order book as best bid/best bid during the closing auction period and no price is displayed throughout the auction period.

The closing price trading session, which runs from 3:10 PM to 3:20 PM, is an additional session following the closing auction in which only the closing price determined by the closing auction can be exchanged.

Source: Tadawul website