DUBAI: Stock markets in the Gulf ended mixed on Wednesday as investors monitored global trade developments ahead of the United States’ potential re-imposition of sweeping tariffs on July 9.
President Donald Trump said on Tuesday he was not thinking of extending the July 9 deadline for countries to negotiate trade deals with the US, and continued to express doubt that an agreement could be reached with Japan.
Saudi Arabia’s benchmark index edged 0.1% higher, after two consecutive sessions of losses, helped by 1.7% rise in Saudi Arabian Mining Company.
The cautious mood dominating the region contributed to mixed sector performances, said Joseph Dahrieh, managing principal at Tickmill.
“Investors are awaiting further developments to gain more clarity, while low oil prices continue to pose a risk, despite a positive economic outlook,” he said.
Among gainers, oil giant Saudi Aramco rose 0.8%.
Oil futures edged up as Iran suspended cooperation with the UN nuclear watchdog and markets weighed expectations of more supply from major producers next month, while the US dollar softened further.
Dubai’s main share index dropped 0.4%, hit by a 1.3% fall in toll operator Salik Company.
Separately, Dubai commuters may soon have a new way to beat traffic, as Joby Aviation successfully completed the first test flight of its fully-electric air taxi in the emirate this week - a significant step toward the city’s goal of integrating airborne transport into its mobility network as early as next year.
In Abu Dhabi, the index eased 0.1%, while the Qatari index closed flat.
A report on Tuesday suggested that the US labour market stayed resilient in May, sharpening the focus on US nonfarm payrolls figures due on Thursday as investors try to gauge when the Federal Reserve is likely to cut interest rates next.
Fed Chair Jerome Powell on Tuesday reiterated the US central bank’s plans to “wait and learn more” before lowering rates.
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