TASI 49 Shares Rise, other 89 Go down

Saudi stock exchange index TASI fell 15.8 points, during the auction, closing at 10,991.8 points, down from 11,107.59 points before the sale.

Shares of 49 companies increased, led by BATIC and Tawuniya by 1.1%, apiece, Tadawul Group by 1%, and Almarai and Al-Othaim by 0.9% each, while the shares of as many as 89 other companies declined, led by the banks Fransi at 1.4%, Al-Arabi at 1.3%, SABB at 1.2%, as well as Al-Fikhariah company at 0.9%, and Knowledge and Pharmaceutical City at 0.8%, apiece.

It’s worth noting that the closing auction is used to determine the market’s closing price, which is set, in turn, by the auction mechanism, that takes into consideration the  supply and demand dynamics, during the closing auction to decide the fair price.

The equilibrium price is reached during the closing auction, that lasts for only 10-minute.

Closing auction begins, at 3:00 p.m. and finishes, at 3:10 p.m., following the end of continuous trading.

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

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

In case that there are no regular transaction, the closing price shall be determined through the price of the most recent deal, during the continuous trading, referring to the prior day’s closing price.

Market orders are presented as the best bidder in the order book, during the closing auction, if no price is displayed.

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

Source: Tadawul, Maaal follow up