JEDDAH – Saudi equities rose the most in almost four weeks Saturday on speculation governments and central banks will take steps to contain the euro-region debt crisis and stoke economic growth. The stock benchmark Tadawul All Share Index rose 1.52 percent to close at 6,767.81 points. It advanced as much as 1.8 percent, the biggest intraday increase since July 3. The measure has increased 5.6 percent this year. The "possibility of further stimulus in the US and recent announcements coming out of Europe are lifting sentiment," Asim Bukhtiar, head of research at Riyad Capital, said by e-mail. "Volumes today look healthy considering the ongoing Ramadan month. Expect some tapering off in the next two weeks as we head into" Eid Al-Fitr holidays, he added. Bank Albilad rose 1.7 percent, the most since July 15, to SR29.50. Al Rajhi added 0.4 percent to SR72, after earlier gaining as much as 1.4 percent. Wala'a Insurance advanced 10 percent, also the most since July 15, to SR30.80. All 14 members of the Petrochemical Industries Index gained. Sabic jumped as much as 4.4 percent and closed up 4.1 percent at SR89.75. Saudi International Petrochemical Co. (Sipchem), added 3 percent to SR18.65. About 310 million shares were traded in Saudi Arabia Saturday, compared with a 12-month daily average of 336 million. Oil prices finished higher Friday, boosted by encouraging comments from European leaders signaling resolve to pull out all the stops to address the eurozone debt crisis. New York's main contract, light sweet crude for September, closed at $90.13 a barrel, up 74 cents from Thursday. Brent North Sea crude for delivery in September leaped $1.16 to settle at $106.47 a barrel in London trade. Meanwhile, European and US equities gained Friday on optimism Europe's policy makers will take further action. Over the week, the Dow Jones Industrial Average gained 1.97 percent, finishing above 13,000 points for the first time since early May. The blue-chip index of 30 stocks finished Friday at 13,075.66, the highest close since May 4, and the second day of triple-digit gains. The tech-rich Nasdaq advanced 1.12 percent, to 2,958.09 points. The Standard & Poor's 500, a broad measure of the markets leaped 1.71 percent to 1,385.97 points, the most in four weeks. European Central Bank President Mario Draghi is said to be planning talks in the coming days with Bundesbank President Jens Weidmann on stimulus measures including bond purchases. ECB and Federal Reserve policy makers are scheduled to gather next week in separate meetings. US Treasury Secretary Timothy Geithner will meet separately with his German counterpart and Draghi Monday, the Treasury Department said. German Chancellor Angela Merkel and French President Francois Hollande pledged to do everything to protect the single currency. The two largest euro-area economies are "bound by the deepest duty" to keep the 17-nation currency bloc intact, Merkel and Hollande said in a joint statement. Gold advanced 2.2 percent this week. Silver tracked the yellow metal with a 0.7 percent weekly gain, but platinum declined 0.4 percent and palladium lost 0.7 percent. On the Comex in New York Friday, gold prices for August delivery climbed $2.90, or 0.2 percent, to settle at $1,618.00 an ounce – the highest settlement price since July 3. The precious metal has gained 3.3 percent in 2012. – SG/Agencies
