Most stock markets in the Gulf ended lower on Monday, as the latest stimulus measures from China disappointed investors, with the Qatari index falling the most.
China’s central bank trimmed its one-year lending rate by 10 basis points and left its five-year rate unchanged, a surprise to analysts who had expected cuts of 15 basis points to both.
In Qatar, the index declined more than a 1%, as most of the stocks on the index were in negative territory including Qatar Islamic Bank, which was down 2.1%.
The Qatari bourse continued to see downside risks with selling pressure on all market segments. The volatility in energy prices could also weigh on sentiment, said Daniel Takieddine, CEO MENA at BDSwiss.
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Saudi Arabia’s benchmark index gave up early gains to close 0.8% lower, with oil giant Saudi Aramco losing 1.6%.
Separately, Japan is making preparations for a meeting of foreign ministers from Japan and the Gulf Cooperation Council (GCC) member states in Saudi Arabia in early September, Kyodo news agency said on Sunday, quoting unnamed diplomatic sources.
The Abu Dhabi index lost 0.3%.
Dubai’s main share index, however, bucked the trend to close 0.1% higher, helped by a 1.2% rise in top lender Emirates NBD Bank.
Outside the Gulf, Egypt’s blue-chip index dropped 0.6%, weighed down by a 1.9% slide in Commercial International Bank.
The Egyptian stock market continued to see risks of losses as traders continue to sell, while trading volumes recede further. The main index’s failure to rise above the previous peak could also weigh on sentiment, said Takieddine.
======================================= SAUDI ARABIA fell 0.8% to 11,408 ABU DHABI lost 0.3% to 9,776 DUBAI rose 0.1% to 4,054 QATAR dropped 1.1% to 10,460 EGYPT down 0.6% to 17,920 BAHRAIN added 0.1% to 1,963 OMAN was flat at 4,697 KUWAIT eased 1.4% to 7,700 =======================================
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