Middle East fund managers have on balance become bearish on the region’s biggest stock market, Saudi Arabia, after oil’s rally ran out of steam and the kingdom confirmed strict rules on foreign investment, a monthly Reuters survey shows. The survey of 15 leading investment firms, conducted over the past 10 days, shows none expects to raise its equity allocation to the Middle East in the next three months – the first time this has been recorded since the survey was launched in September 2013. Last month, 33 percent of respondents said they planned to increase their equity allocations. The proportion intending to cut equity allocations has risen to 20 percent from 7 percent. Oil prices, which are a major driver of economic performance in the region, are headed for a monthly loss after rebounding in April, and their longer-term outlook remains uncertain. Also, falling trading volumes and thin […]