Most major Gulf stock markets rose in early trade on Monday, as optimism over less aggressive US rate hikes and economic reopening in China bolstered sentiment, although Abu Dhabi bucked the trend to trade lower.
Oil, which fuels the region’s growth, climbed on Monday as the borders reopened in China, the world’s top crude importer, boosting the outlook for fuel demand growth and offsetting global recession concerns. Brent crude futures were up $1.49, or 1.9%, at $80.06 a barrel as of 0745 GMT.
The benchmark Qatari index jumped 1%, helped by petrochemical and financial sector. Gulf’s largest lender Qatar national Bank hiked 1.9%, while petrochemical maker Industries Qatar gained 1%.
Among other stocks, shares of telecom operator Ooredoo jumped 1.3% after its IT services subsidiary MEEZA announced offering its 50% share capital through an initial public offering (IPO) on the Qatar Stock Exchange.
MEEZA ,which is Qatar’s first firm to use book building for IPO, announced price range between 2.61 riyals ($0.7135) and 2.81 riyals per share, which could raise between 846 million and 911 million riyals.
Separately, QatarEnergy chief Saad al-Kaabi announced on Sunday the final investment decision on the $6 billion Ras Laffan Petrochemicals Complex alongside its partner in the project Chevron Pillips Chemical Saudi Arabia’s benchmark index advanced 0.3%, led by a 2% hike in mining firm Saudi Arabian Mining Company, while oil giant Saudi Aramco rose 0.8%.
Among other stocks, telecom Operator Zain KSA surged 6.1% after it sold stake in the tower’s infrastructure to Golden Lattice Investment Company in a deal valued at 3.02 billion riyals ($803.88 million).
Dubai’s main share index edged up 0.1%, led by a 1.2% gain in blue-chip developer Emaar Properties and a 0.9% increase in Sharia-compliant lender Dubai Islamic Bank.
Abu Dhabi’s index, however, eased 0.3%, extending losses to fourth straight sessions, as conglomerate International Holding Company lost 0.6% while its unit Multiply Group was down 0.8%.