Saudi Arabia’s stock market ended lower on Monday, snapping four sessions of gains, on falling oil prices, while the Qatari index extended losses from the previous session.
Oil prices - a catalyst for the Gulf’s financial markets - extended declines, pressured by investor scepticism over the latest OPEC+ decision on supply cuts and uncertainty surrounding global fuel demand, though the risk of supply disruptions from the Middle East conflict limited losses.
Geopolitical considerations were back in focus as fighting resumed in Gaza.
Three commercial vessels came under attack in international waters in the southern Red Sea, the US military said on Sunday.
Saudi Arabia’s benchmark index dropped 0.3%, snapping four sessions of gains, weighed down by a 0.5% fall in oil giant Saudi Aramco.
The Qatari benchmark declined 0.8%, with petrochemical maker Industries Qatar losing 1.8%.
The Qatari stock market extended its price corrections, recording a second day in the red this week.
Qatar stock market ends higher, Saudi extends losses
The main index could continue to see declines after a rebound last month, said Abdelhadi Laabi, the chief marketing officer at KAMA Capital.
“Negative performances in energy markets could remain a detrimental force in the market which is seeing most individual stocks declining.”
Outside the Gulf, Egypt’s blue-chip index advanced 2.8%, ending a four-day losing streak, as most of its constituents were in positive territory, including Commercial International Bank, which was up 2.8%.
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