AMMAN - Arab stock markets reflected mixed performance this week as investors overlooked the impact of political turmoil to focus on first quarter results, financial analysts said Friday. The Egyptian bourse scored strong gains due to intense foreign demand, while Saudi stocks closed in the green for the second consecutive week, buoyed by the huge public spending committed by the government for the coming few years. 'I believe the marathon Saudi public spending will have positive repercussions, not only inside Saudi Arabia, but also across the Gulf and Arab region,' Wajdi Makhamreh, CEO of the Amman-based Noor Investments brokerage, told the German Press Agency (dpa). 'I think surging oil prices are also set to boost regional markets, as huge surpluses accruing to Arab oil-producing countries will seek investment outlets, including stocks,' he said. Makhamreh expected investors' attention to focus in the coming weeks on first quarter results, with the impact of political events receding to the back seat. Saudi stocks extended gains this week, led by the petrochemical, real estate, telecom and banking sectors. The Tadawul All Share Index (TASI) of the Arab world's largest stock exchange rose about 3 per cent, closing the week at a six-week high of 6,562.85 points. TASI gained 10.46 per cent in March, with most of the gains scored in the wake of the 130-billion-dollar spending package that was unveiled recently by King Abdullah. Kuwaiti stocks were volatile this week, mainly due to the political woes that led to the resignation of the government to avoid grilling by opposition lawmakers, analysts said. Kuwait's KSE all-share index gained 0.17 per cent on weekly basis, to close at 6,295 points. According to the weekly report of the Kuwaiti financial services firm, Wodooh, the Kuwaiti stock exchange lost 15.5 billion dollars in the first quarter of 2011. 'There are concerns that these losses will reflect negatively on the first quarter earnings of listed firms,' the report said. The benchmark of the Dubai stock exchange closed 0.2 per cent in the green this week at 1,556 points, while the all-share index of the Abu Dhabi bourse shed 1 per cent, closing at 2,607 points. Egypt's AGX 30 index, measuring the performance of the market's 30 most active stocks, climbed 10.4 per cent this week, to close at 5,463 points due to strong demand by foreigners who sought to make benefit from low prices after the Egyptian stock exchange reopened on March 23, analysts said. The head of the Egyptian stock exchange, Mohammad Abdussalam, said that 29 new foreign funds had been set up over the past week to trade Egyptian stocks - eight from Latin America, 13 from Europe and eight from Arab countries. The Amman stock exchange continued its weak performance this week due to the absence of confidence and political developments in the country, Makhamreh said. The ASE all-share index shed 0.3 per cent this week, closing at 2,175 points.
