Overview:
The Saudi stock market closed lower on October 25, 2026, with the Tasi index dropping 257.36 points to 9,438.50. Trading volume reached 4.3 billion riyals across 339 million shares. While nine companies posted gains, 257 declined. Simultaneously, the government announced utility tariff increases effective January 1, 2027, paired with countermeasures including a 500-riyal monthly allowance for civil servants, military personnel, and retirees.
Details:
The market decline reflected broad weakness: only shares in Hadid Watani, Al-Aziziah REIT, Sulaiman Al-Habib, Saudi Tayyar Group, and MBC Group advanced, while Halwani Bros, Ruwoom, Enaaya, AFG Retail, and Saudi Ceramics headed the losers. Price swings ranged between 6.37 and 10 percent. Simultaneously, sixty companies and nine exchange-traded funds registered all-time lows, including Saudi Tayyar Group at 101.50 riyals and Al-Nahdi at 82.30 riyals.
Saudi Electricity Company and National Water Company confirmed tariff adjustments beginning January 1, 2027. The Royal Directive, presented by Crown Prince Mohammed bin Salman, authorized supportive measures: a 500-riyal monthly supplement for salaried civil and military personnel, retirees, and eligible families under social insurance; matching support for households receiving guaranteed income; and phased increases in the Saudi citizen minimum threshold for localization ratios to 6,000 riyals.
Bank profits in the third quarter of 2026 rose 4.8 percent year-on-year to exceed 24.75 billion riyals, up 1.13 billion riyals from the third quarter of 2025. Al-Rajhi Bank led with net profit of 7.1 billion riyals.
Outlook:
Investors are monitoring whether the market stabilizes following the broad sell-off or whether the weakness extends into the final quarter. The utility tariff increases and accompanying fiscal support packages will be tracked for their effect on household consumption and inflation expectations.