Saudi stimulus provides boon to trading as stocks rise



Saudi Arabia's Tadawul extended a winning streak as government stimulus into the kingdom offered a boon to investors.

The region's largest stock market moved 1.2 per cent higher to 6,145.18 points. Nabil Farhat, partner at Al Fajer Securities said there was an "impatience" to carry out reform in Saudi Arabia, which is positive for the market.

"This means more spending, which will help the economy move on but political risk is still there," Mr Farhat said.

The Tadawul has risen 15 per cent gain in the last 5 days, as the kingdom pumped $37 billion into the economy ahead of a planned "Day of Rage" this Friday.

In the UAE Arabtec climbed the most since December after it shelved plans to raise capital through a rights and bond issue.

The construction company postponed plans for a rights issue and a $150 million, five-year convertible bond until market conditions improve.

It rose 7.9 per cent to Dh1.36, the biggest intraday gain for three months, even as the company's net profit fell 38 per cent in 2010, from a year earlier.

The Dubai Financial Market added 2.18 per cent to 1,443.28 points and the Abu Dhabi Stock Exchange increased 1.27 per cent to 2,605.80 points.

In the capital, First Gulf Bank was the leading mover as it rose 3.5 per cent to Dh16.15 and Etisalat, the UAE's biggest company by market capitalisation climbed nearly 1 per cent to Dh11.1.

Other markets in the region also extended gains, as the Kuwaiti measure advanced 1.3 per cent to 6,218.90 points and Qatar's QE Index rose nearly 2 per cent to 8,171.59 points. Muscat's measure closed 0.2 per cent higher to 6,303.82 points.

Bahrain's stock market recovered from a dip at the open, to end 1.16 per cent higher to 1,409.32 points.

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Coffee: black death or elixir of life?

It is among the greatest health debates of our time; splashed across newspapers with contradicting headlines - is coffee good for you or not?

Depending on what you read, it is either a cancer-causing, sleep-depriving, stomach ulcer-inducing black death or the secret to long life, cutting the chance of stroke, diabetes and cancer.

The latest research - a study of 8,412 people across the UK who each underwent an MRI heart scan - is intended to put to bed (caffeine allowing) conflicting reports of the pros and cons of consumption.

The study, funded by the British Heart Foundation, contradicted previous findings that it stiffens arteries, putting pressure on the heart and increasing the likelihood of a heart attack or stroke, leading to warnings to cut down.

Numerous studies have recognised the benefits of coffee in cutting oral and esophageal cancer, the risk of a stroke and cirrhosis of the liver. 

The benefits are often linked to biologically active compounds including caffeine, flavonoids, lignans, and other polyphenols, which benefit the body. These and othetr coffee compounds regulate genes involved in DNA repair, have anti-inflammatory properties and are associated with lower risk of insulin resistance, which is linked to type-2 diabetes.

But as doctors warn, too much of anything is inadvisable. The British Heart Foundation found the heaviest coffee drinkers in the study were most likely to be men who smoked and drank alcohol regularly.

Excessive amounts of coffee also unsettle the stomach causing or contributing to stomach ulcers. It also stains the teeth over time, hampers absorption of minerals and vitamins like zinc and iron.

It also raises blood pressure, which is largely problematic for people with existing conditions.

So the heaviest drinkers of the black stuff - some in the study had up to 25 cups per day - may want to rein it in.

Rory Reynolds

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