Most stock markets in the Gulf ended higher on Tuesday, rebounding from falls triggered by ongoing uncertainty surrounding U.S. President Donald Trump’s plans for tariffs on imports.
Since taking office last month, Trump has imposed a 10% tariff on imports from China, and announced plans for 25% tariffs on goods from Mexico and non-energy imports from Canada, although these have been delayed.
Additionally, he has set a date for 25% tariffs on imported steel and aluminium, and is considering reciprocal tariffs on countries that tax U.S. imports.
Saudi Arabia’s benchmark index gained 0.6%, led by a 4.3% jump in the country’s biggest lender Saudi National Bank.
Among other gainers, Mobile Telecommunications Company advanced 5.1%. Despite reporting a fall in annual profit, the telecom operator maintained its full-year cash dividend of 0.50 riyals per share.
The market appears poised to keep rising, supported by robust fourth-quarter results, although external factors continue to influence investor sentiment as recently observed, said Joseph Dahrieh, Managing Principal at Tickmill.
Gulf markets end mixed on concerns over Trump tariff plans
Dubai’s main share index fell 0.2%, with toll operator Salik Company sliding more than 5%, snapping a four-session winning streak.
Last week, Salik reported a net profit of 1.16 billion dirhams ($315.84 million) for 2024, up from 1.10 billion dirhams a year earlier.
Budget airliner Air Arabia retreated 1.5%, on profit-taking following three sessions of gains.
In Abu Dhabi, the index rose 0.7%.
According to Dahrieh, Tuesday’s higher oil prices provided modest support.
A catalyst for the Gulf’s financial markets, international oil prices extended gains after a drone attack on an oil pipeline pumping station in Russia reduced flows from Kazakhstan, though prices were checked by the prospect of rising supply.
The Qatari index finished 0.3% higher, ahead of more earnings announcement this week, with the Gulf’s biggest lende Qatar National Bank rising 0.7%.
Outside the Gulf, Egypt’s blue-chip index added 0.3%.
Egypt’s central bank is likely to keep interest rates steady on February 20, awaiting a clearer drop in inflation before considering cuts, a poll of 10 economists and analysts showed.
--------------------------------------- SAUDI ARABIA rose 0.6% to 12,334 Abu Dhabi up 0.7% to 9,619 Dubai fell 0.2% to 5,375 QATAR gained 0.3% to 10,638 EGYPT up 0.5% to 30,588 BAHRAIN was up 0.4% to 1,802 OMAN added 0.1% to 4,469 KUWAIT gained 0.7% to 8,567 ---------------------------------------
Comments
Comments are closed for this article.