Tadawul Equities Start October in Red; Umm Al Qura for Development Ticks Down

08:30 AM EDT, 10/01/2026 (MT Newswires) -- Saudi equities extended their losing streak as they started the first trading day of October lower following the persistent uncertainty regarding the US-Iran conflict dampened investor sentiment. At the close of Thursday trading, the Tadawul All Share Index closed 0.46% in the red. Out of 272 stocks, 109 stocks ticked up, while 149 ticked down. Iran disclosed that the US had made its response to its latest proposal. Reuters reported, citing sources, that the two countries have reportedly agreed to the de-escalation steps. Back at home, Saudi Arabia's Foreign Ministry released its pre-budget statement for 2027. The regulator estimates that the country will have total revenues of 1.20 trillion Saudi riyals and total expenditures worth 1.39 trillion riyals in 2027. "Saudi Arabia increased its projected budget deficit for the year as it steps up spending to mitigate the fallout from the ongoing regional war and progress its economic diversification. The Ministry of Finance expects a fiscal shortfall of 4.9% of gross domestic product this year, with expenditure seen higher than estimated at 1.4 trillion riyals for 2026. Saudi Arabia expects real GDP to contract 3.6% this year, versus an earlier outlook for growth of 4.6%, driven by expected declines in oil activities amid the US-Iran war. Revenue is projected to increase to 1.2 trillion riyals this year as Brent crude trades near $100 a barrel. For 2027, the budget deficit is seen narrowing to 3.6% amid a slight increase in revenues and dip in spending levels," United Securities LLC said in a morning note. On the corporate front, Umm Al Qura for Development and Construction Co. (SASE:4325) agreed to sell a land plot spanning 3,341 square meters in the Masar Destination. Sanduq Sharq AlAsemah Co. will use the asset for a hospitality tower project. Shares of the real estate developer closed 1.81% lower.