Riyadh - Arabstoday
Saudi Basic Industries Corp (SABIC) rose after saying it would issue a SAR3-per-share ($0.80) dividend for the second half of 2011, helping the kingdom\'s index extend gains. Shares in SABIC, the world\'s largest chemicals producer, climbed 1.3 percent to rebound from Saturday\'s two-week low. Other petrochemical stocks also advanced, with Saudi Kayan Petrochemical up 0.9 percent and Alujain climbing 1.4 percent. The main index rose 0.3 percent to 6,270 points, gaining for a third straight session, while investors also bet on consumer-driven stocks to end the year strongly. \"[The] consumer and domestic [sectors] are good areas to be in, like cement,\" said Farouk Miah, Acting Head of Research at NCB Capital. Government spending on infrastructure has boosted demand in the construction sector. \"People expect the [Saudi 2012] budget to show increased spending on infrastructure, hence names in this sector would benefit,\" Miah adds. Construction supplies company Saudi Arabian Amiantit gained 1.3 percent and Saudi Steel Pipes rose 0.6 percent. UAE markets were near-flat as only a handful of stocks traded, with investors risk adverse while the euro zone debt crisis rumbled on. Dubai\'s index rose 0.02 percent to 1,368 points, down about 16 percent year-to-date. Abu Dhabi\'s benchmark slipped 0.2 percent to 2,409 points. Aldar Properties fell 1.1 percent and telecoms operator Etisalat declined 0.4 percent. Euro zone debt concerns weighed on sentiment after Moody\'s cut Belgium\'s credit rating by two notches with the possibility of other countries in the region also seeing similar downgrades. \"The main factors are still the same, nothing has changed, it\'s very much global markets,\" said Haissam Arabi, chief executive and fund manager at Gulfmena Investments. \"What\'s happening in the euro zone is very much hampering investor sentiment.\" Elsewhere, Oman and Kuwait\'s markets edged higher, although trading was also muted. Muscat\'s index advanced 0.2 percent to 5,726 points, and Kuwait climbed 0.08 percent to 5,828 points.