JEDDAH: Saudi Arabian shares, led by banks, gained the most in four weeks as fourth-quarter earnings beat analysts' estimates and after US stocks rose and crude oil prices advanced. The stock benchmark Tadawul All Share Index advanced 0.92 percent to close at 6,778.99 points Saturday, the gauge's largest gain in four weeks, as more than two stocks increased for every one that dropped. Al Rajhi Bank, the kingdom's largest lender by market value, Samba Financial Group and Banque Saudi Fransi paced the advance. Saudi Basic Industries Corp., the world's largest petrochemical maker, climbed 1.2 percent to its highest price in more than two years. "Investors are breathing a sigh of relief from the better-than-expected earnings from the four banks that reported late last week," Asim Bukhtiar, an equity analyst at Riyad Capital, said. "Headline numbers suggest a return to normalcy which should mitigate earnings volatility going forward and boost investor confidence." SABIC added 1.2 percent to SR109.50, the shares' highest price in 28 months. Al Rajhi gained 0.9 percent to SR83 and Samba jumped 3.3 percent to SR62.50, the shares' largest advance in a month. Banque Saudi Fransi climbed 4 percent to SR46.70, the biggest gain in 12 weeks. The Saudi lender part-owned by Credit Agricole SA said fourth-quarter profit doubled to SR709 million ($189 million) as loans and customer deposits increased. Saudi Hollandi Bank surged 7 percent to SR32.20, the largest jump in more than four months. The bank partly owned by ABN Amro Bank NV reported a fourth-quarter profit of SR224.6 million compared with a loss of SR439.4 million a year earlier. "Bank results allayed fears of lower banking profits based on recent central bank guidelines," Fuad Aghabi, investment director at Ajeej Capital in Riyadh, said. "The market was also being supported by a stronger close in the US stock and world oil markets." US and European stocks rose this past week. The Standard & Poor's 500 Index climbed 1.7 percent over the past five days for its seventh straight weekly gain, the longest stretch of weekly advances since May 2007, while the benchmark Stoxx Europe 600 Index gained 1 percent. Oil capped the best week in six. Crude for February delivery settled at $91.54 a barrel on the New York Mercantile Exchange Friday. Futures climbed 4 percent.
