Group 1 - The Saudi stock market index has risen by 4.42%, with several major stocks increasing by over 9% [1] - Two Saudi ETFs, the Southern Fund Southern Dongying Saudi ETF (159329.SZ) and Huatai-PB Southern Dongying Saudi ETF (520830.SH), have seen gains exceeding 6% [1] Group 2 - The Saudi Capital Market Authority (CMA) is considering allowing foreign investors to own a majority stake in local companies, with a proposed amendment to increase the foreign ownership limit from 49% [3] - CMA board member Abdulaziz Abdulmohsen bin Hassan indicated that the regulatory body is nearly ready for this step, pending approval from relevant government entities, with expectations for the decision to take effect by the end of the year [3] - Allowing foreign ownership above 50% could increase the weight of Saudi stocks in the MSCI index, potentially attracting significant capital inflow, as companies with foreign ownership restrictions have lower index weights [3] - The main Saudi stock index has declined by 9.6% this year, making it the worst performer in the region, while the MSCI Emerging Markets benchmark index has risen by 25% in USD terms [3]

Group 1 - The Saudi stock market experienced a significant surge, with the main index rising by 4.42% and several major stocks increasing by over 9% [1] - The Saudi Capital Market Authority (CMA) is expected to relax restrictions on foreign ownership of local companies, potentially allowing foreign investors to hold more than 49% of shares [5] - The anticipated changes could increase the weight of Saudi stocks in the MSCI index, attracting substantial capital inflow, as companies with foreign ownership limits have lower index weights [5] Group 2 - Notable stock performances include DAR ALARKAN, TADAWUL GROUP, and SNB, each showing increases of approximately 10% [2] - Two Saudi ETFs, the Southern Fund Southern East England Saudi ETF and Huatai-PB Southern East England Saudi ETF, also saw gains exceeding 6% [2] - The Saudi main index has declined by 9.6% this year, making it the worst performer in the region, while the MSCI Emerging Markets Index has risen by 25% in USD terms [5]

Core Viewpoint - The Saudi stock market experienced a significant surge, with expectations of the Capital Market Authority (CMA) easing restrictions on foreign ownership of local companies, potentially allowing foreign investors to hold more than 50% of shares in listed companies [1][6]. Market Performance - As of the latest report, the Saudi All Share Index rose by 4.42%, with several major stocks increasing by over 9% [2]. - Notable stock performances include: - DAR ALARKAN: increased from 16.120 to 17.730, a change of 9.99% - TADAWUL GROUP: increased from 179.800 to 197.700, a change of 9.96% - SNB: increased from 34.560 to 38.000, a change of 9.95% [3]. ETF Performance - Two Saudi-listed ETFs, the Southern Fund Southern Dongying Saudi ETF (159329.SZ) and Huatai-PB Southern Dongying Saudi ETF (520830.SH), saw gains exceeding 6% on the same day [3]. Regulatory Changes - The CMA is reportedly preparing to approve a significant amendment to increase the foreign ownership limit in listed companies from the current 49% [6]. - This change is expected to enhance the relative weight of Saudi stocks in the MSCI index, potentially attracting substantial capital inflows [6]. Comparative Market Analysis - The Saudi stock market has underperformed this year, with a decline of 9.6%, making it the worst performer in the region, while the MSCI Emerging Markets Index has risen by 25% in USD terms [7].