Most stock markets in the Gulf ended higher on Monday as investors looked for more clues to the global monetary policy trajectory after mixed US economic data last week, although the Saudi index eased on downbeat bank stocks.
The Qatari benchmark gained 0.4%, with the Gulf’s biggest lender, Qatar National Bank rising 0.7%, while Qatar Islamic Bank finished 0.5% higher.
The Qatari bourse stabilized to a certain extent after a volatile week, said George Khoury, Global Head of Education and Research at CFI.
Gulf bourses rise on higher oil prices
“The market could remain exposed to the volatility in energy markets and could be exposed to large fluctuations this week.”
In Abu Dhabi, the index added 0.5%, led by a 4% jump in the United Arab Emirates’ largest lender, First Abu Dhabi Bank (FAB).
FAB has set the final spread for its benchmark-sized 5-year sukuk, or Islamic bond, at 85 basis points over US Treasuries, an arranging bank document showed on Monday.
Saudi Arabia’s benchmark index gave up early gains to close 0.3% lower, hit by a 1.8% fall in Saudi National Bank and a 1.6% decrease in Alinma Bank.
Oil prices - a catalyst for the Gulf’s financial markets - fell by more than 2% on sharp price cuts by top exporter Saudi Arabia and a rise in OPEC output, offsetting supply concerns generated by escalating geopolitical tensions in the Middle East.
However, media giant MBC Group soared 30% above the listing price in its market debut, raising 831 million riyals ($221.59 million) in an initial public offering (IPO) for 10% of the business. Outside the Gulf, Egypt’s blue-chip index was flat.
SAUDI ARABIA lost 0.3% to 12,252
ABU DHABI rose 0.5% to 9,712
DUBAI was flat at 4,089
QATAR gained 0.4% to 10,483
EGYPT closed flat at 25,345
BAHRAIN was up 0.3% to 1,984
OMAN added 0.2% to 4,603
KUWAIT gained 0.7% to 7,787
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