Saudi Arabia added to the MSCI EM index

Saudi Aramco Clears Another IPO Hurdle | OilPrice.com

Saudi Aramco Clears Another IPO Hurdle | OilPrice.com

Mark Mobius, who has gained a reputation for being optimistic more often than not on emerging-markets' prospects, said earlier this month he isn't completely bullish on Saudi Arabia because the range of offerings is limited and a number of restrictions are still in place.

"With $1.9trn of funds tracking MSCI's EM index, the 2.6% that Saudi will initially command is likely to result in equity flows of approximately $40bn", Khatoun said.

The Saudi stock exchange celebrated an "historic milestone" with inclusion into MSCI's Emerging Market index, as it pledged to make further improvements to become the "leading" market in the Middle East. Both have been members of the MSCI EM index since 2014.

Saudi Arabia has been upgraded by index provider MSCI to sit in its Emerging Market index for the first time, following its semi-annual review, while Argentina also re-enters the index after being downgraded in 2009. Separately, MSCI said it would upgrade Argentina to the category as well.

Saudi Arabia says new Yemen missile intercepted
Earlier in the day, witnesses said another airstrike targeted a tractor driver and his assistant in eastern Hodeida. Around two-thirds of the country's population of 27 million relies on aid and 8.4 million are at risk of starving.

Saudi Arabia opened its US$524 billion stock market to foreign investors three years ago.

"It is our job to ensure the market is ready for such events, and this is what we have done", he added.

The decision, announced late Wednesday, is the second key development for Tadawul, the largest Arab stock market with capitalization of over $525 billion, after the global FTSE Russell index granted it secondary emerging market status in March.

Mazen al Sudairi, head of research at Al Rajhi Capital, said the index inclusions would encourage more companies to list on the region's largest stock market. Allowing foreign funds into the Saudi stock market will facilitate the sale of the planned IPO. The MSCI emerging market index includes South Korea. Foreigners are already net buyers of Saudi stocks, having poured in $3 billion this year through June 7, according to data from the stock exchange and compiled by Bloomberg.

Trump supporters steadfast despite the immigration uproar
A so-called compromise bill between GOP factions had been teetering on brink of collapse ever since it was introduced last week. The president, he said, was in an "unsustainable position and would like to be bailed out of it without having to admit fault".

MSCI will decide whether to reclassify Saudi Arabia and its US$ 526 billion bourse to "emerging" from "standalone" status.

As the central banks in advanced countries chose to raise their interest rates, the amount of passive funds investing in emerging countries is on the decrease. "We estimate that MSCI's decision could lead to $3 billion of inflows to Saudi Arabia from passive funds and a potential $10.6 billion of inflows from active funds".

"This important change was aimed at more closely aligning Tadawul's operating model with global best practices and further easing access to the Saudi Arabian equity markets for worldwide institutional investors", said the statement.

"It is very good to have more opportunities for investors to invest", said Akira Takei, a fund manager at Asset Management One in Tokyo, which oversees around US$500 billion. That could help prompt a 20 percent rally in Argentine stocks, according to Morgan Stanley.

Pelosi calls for Trump to end 'inhumane, barbaric' policy at the border
Trump has repeatedly blamed Democrats for the separations , falsely claiming they are responsible for the situation. Attorney General Jeff Sessions announced the "zero-tolerance policy for criminal illegal entry" on 6 April 2018.

Recommended News

  • Prince Louis' christening date announced

    Prince Louis' christening date announced

    Guests can expect to chow down on a slice of William and Kate's wedding cake, which was a fruit cake envisioned by Fiona Cairns. The Queen is head of the Church of England and Louis' father William will one day take on this role when he becomes king.
    'I really don't care'

    'I really don't care'

    While Zara's shops are ubiquitous, its Spanish parent company, Inditex SA, typically tries to stay out of the limelight. As images of Mrs Trump surfaced online, social media was swamped with users in disbelief over her choice of jacket .
    Macron and Merkel address the press after European Union  reform talks

    Macron and Merkel address the press after European Union reform talks

    Rogan, a Washington Examiner commentary writer, explained that Merkel is facing a "populist pushback" within her own ranks. But "we want finally to have a sustainable solution for turning back refugees at our borders".
  • Former Trump campaign manager tweets background to 'wah-wah' comment

    Former Trump campaign manager tweets background to 'wah-wah' comment

    Wednesday morning, despite the video evidence, Lewandowski tweeted that reports he mocked the girl's plight was " fake news ". Lewandowski's remark drew intense outrage , including from former Fox News contributor Megyn Kelly.
    Twitter erupts as Cristiano Ronaldo inspire Portugal to their second victory

    Twitter erupts as Cristiano Ronaldo inspire Portugal to their second victory

    Ronaldo scored in the fourth minute of the match to become the highest-scoring European player in global soccer history. Ronaldo also leads the way when it comes to the Golden Boot after scoring his fourth goal of the tournament.
    39 fighters killed in Yemen

    39 fighters killed in Yemen

    Currently, 8 million of Yemen's 28 million people are at risk of starvation, according to the United Nations and aid agencies. Two Saudi and UAE aid ships were in the waters off Hodeida, coalition spokesman Turki al-Maliki told Saudi state media.
  • Jeff Sessions says no one wants to split families

    Jeff Sessions says no one wants to split families

    Faith leaders of all persuasions, including the leader of Sessions' own church , have denounced the policy. HuffPost has reached out to the pastors of both congregations for comment but has not heard back.
    Paul McCartney Runs Through Beatles Classics in Liverpool on Supersized 'Carpool Karaoke'

    Paul McCartney Runs Through Beatles Classics in Liverpool on Supersized 'Carpool Karaoke'

    McCartney made it even more poignant when he told Corden: "He is". "And I remember them playing me that". Calling on Paul , the chat show host quoted The Beatles' , singing, "I need somebody, not just anybody.
    You’re About to Pay Higher Online Taxes After Supreme Court Ruling

    You’re About to Pay Higher Online Taxes After Supreme Court Ruling

    States have not been able to collect taxes on online transactions unless a business had a physical presence in the state. The online stores have contended that charging sales tax would be "burdensome" for small- to mid-sized shops.
  • Major Upsets as World Cup Advances

    Major Upsets as World Cup Advances

    One clip of the clean-up operation, shared by Argentinean channel TyC Sports, has been viewed more than 4 million times . It's also noted Japan supporters carried out a similar job following their participation in the 2014 World Cup in Brazil.
    As Kim visits China, Xi flaunts bargaining chip in trade dispute

    As Kim visits China, Xi flaunts bargaining chip in trade dispute

    China is North Korea's most important diplomatic and economic backer but has been angered by its nuclear and missile tests. Xi holds a unique combination of carrots and sticks that could make or break talks between Trump and Kim.
    Melania Trump ‘hates’ separating migrant kids from parents

    Melania Trump ‘hates’ separating migrant kids from parents

    But Trump blamed Democrats for not taking action on immigration. "Mrs. Border Patrol allowed reporters to briefly visit on Sunday. It was the same facility the U.S.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.