Saudi Basic Industries Corp. (SABIC) ended higher after saying it would issue a SR3-per-share ($0.80) dividend for the second half of 2011, helping the Kingdom's index extend gains. Shares in SABIC, the world's largest chemicals producer, climbed 1.1 percent to rebound from Saturday's two-week low. Saudi stock benchmark Tadawul All Share Index rose 0.22 percent to close at 6,267.67 points Sunday, gaining for a third straight session. Other petrochemical stocks also advanced, with Saudi Kayan Petrochemical up 0.6 percent and Alujain climbing 2 percent. “Petrochems are expected to post strong annual results and growth over Q4 2010,” said Hamad Al-Touijri, economic professor at King Saud University. Strong oil prices will support petrochemical's earnings, he added. US light crude was up 18.1 percent in the fourth quarter. The building and construction index rose 0.9 percent, up for a third session. Elsewhere, Dubai index rose 0.4 percent to 1,372 points, rising from Thursday's two-week closing low. Late Wednesday, influential index compiler MSCI said it would not upgrade the UAE to emerging market status. Shares in Dubai contractor Arabtec surged nearly 5 percent to a 13-month high on what traders said is buying led by a single wealthy investor, helping lift the emirate's index. Arabtec said the company's chief executive Riad Kamal has only transferred his shares in the firm to his family, and denies talk of stake sale. Abu Dhabi's index slipped 0.04 percent to 2,412 points. “We have no reason to increase risk in UAE equity markets,” said Marwan Shurrab, vice-president and chief trader at Gulfmena Investments. “After MSCI's decision, we return to our correlation with international markets. There is no major catalyst for a move against (global) markets.” In Oman, the benchmark ended 0.1 percent lower at 5,711 points, down for a second session since Wednesday's 12-week closing high as investors book profits. Oman Telecommunications fell 1.2 percent and Renaissance Services shed 1.8 percent. Heavyweight Bank Muscat dipped 0.5 percent. Kuwait's index ticked up 0.2 percent to 5,832 points. Benchmark crude fell 34 cents to end at $93.53 per barrel in New York. Prices fell as low as $92.52 earlier in the day. Brent crude fell 25 cents to finish at $103.35 a barrel in London.
