Market Analysis: TASI Gains 40 Points, as 6.3mln Shares Traded, at SR271mln

TASI, the Saudi stock exchange main index climbed 39.9 points, during the post-session auction on Thursday, December 23, 2021, to end trading at 11,271.46 points, up from 11,231.57 points before the auction.

As much as 6.3 million shares were exchanged, at a closing value of SR271.1 million, through as many as 7,978 transactions.

Shares of 85 companies advanced, led by Astra and Al Baha 1.3%, Yansab and SEDCO Capital 1.2%, while shares of another 62 companies declined, during the auction, led by Arab Insurance 1.5%, Al Rajhi Reit 0.9%, Al Wataniya 0.8%, and Chemical 0.7%.

It’s worth noting that the closing auction is used to determine the market’s closing price, depending on a mechanism that takes into account supply and demand dynamics, during the closing auction to set the fair price, as the equilibrium is determined, while the closing auction, that lasts 10-minute.

The closing auction begins at 3:00 p.m. and finishes at 3:10 p.m., following the end of continuous regular trading session.

Closing price is derived, on a daily basis,  as orders are processed, at 3:10 pm + a maximum of 30 seconds.

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

In case, there isn’t a regular transaction, the closing price is determined, using the price of the most recent deal, during the continuous trading, in other words, the prior day’s closing price.

Market orders are listed in the order book as the best bidders’ offered best bids, during the closing auction period, with no price throughout the auction.

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

Source: Tadawul website, Maaal follow up unit