2004 News Story

Saudi stock market surges to new record high

Saudi Arabia's stock market index surged through 8,000 points to a new record yesterday on investor optimism that strong oil prices and corporate profits would extend into next year. The index closed yesterday 1.54 percent higher at 8,086.29 points - a gain of more than 82 percent since the start of the year after rising 76 percent in 2003. Economists attribute the rise to the rapid growth in money supply and surging corporate profits, all fuelled by high oil export earnings in the world's biggest crude exporter.