• The Saudi stock market has shown signs of weakness following disappointing results from major companies like Sabic, which reported a net profit of 1.54 billion riyals for 2024, falling short of analyst expectations. This has led to a decline in the Tadawul All Share Index, which dropped 0.6% to 12,232 points. Investors are reportedly repositioning their portfolios ahead of Ramadan, leading to a cautious market sentiment. The overall trading volume remained close to the three-month average, indicating a lack of strong buying interest despite some gains in other sectors like telecommunications.

• The broader petrochemical sector is facing significant challenges, with companies like Sabic and its subsidiaries experiencing pressure from declining sales volumes and increased operational costs. Analysts suggest that the market may continue to see volatility as investors react to these earnings reports and the upcoming Ramadan period, which historically sees reduced trading activity. The performance of key stocks, particularly in the petrochemical sector, will be crucial in determining the market's direction in the near term.