RIYADH: Saudi Arabia’s stock exchange introduced yesterday a new method for calculating the closing prices of traded shares, to limit excessive speculation and manipulation in the Gulf Arab region’s largest stock market.
The closing price of a stock has in the past been the price of the last trade with a value exceeding SR15,000. In future, the closing price will be the average of all trades in the final 15 minutes, weighted by the volume traded at each price.
“The new method is part of efforts to increase market efficiency,” the exchange said in a statement. Reuters
