RIYADH: Foreign investors’ behavior in the Saudi stock market varies during periods of war or geopolitical tension in the region.
In the first week after the outbreak of the Iran war, foreign investors recorded net sales of nearly SR1 billion ($266 million), according to a study by Al-Eqtisadiah newspaper.
According to Al-Eqtisadiah’s Financial Analysis Unit, foreign investors have exhibited inconsistent behavior during the last four wars or periods of regional tension, recording net sales twice and net purchases twice.
Previous tensions
On Sept. 14, 2019, facilities belonging to the Saudi oil giant Aramco were attacked. Foreign investors recorded net purchases of SR2.8 billion in the first week following the raid.
