Stock markets in the Gulf ended mixed on Tuesday, with the Abu Dhabi index falling for the eighth straight session on volatile oil prices and rising tensions in the region.
Oil prices - which fuel the Gulf’s economy - eased slightly as traders weighed simmering geopolitical tensions in several regions with supply outages in the U.S. and returning production in Libya.
Tensions rose in the Middle East, where U.S. and British forces carried out a second joint round of strikes on Houthi positions in Yemen on Monday night.
In Abu Dhabi, the index dropped 0.3%, hit by a 0.5% fall in conglomerate International Holding Co.
According to Abdelhadi Laabi, Chief Marketing Officer at KAMA Capital, the Abu Dhabi bourse was affected by fluctuations in oil prices and ongoing geopolitical tensions.
“While price corrections could continue for some time, the market could stabilize if conditions improve and return to its uptrend over the last few months.”
The Qatari benchmark eased 0.1%, with the Gulf’s biggest lender, Qatar National Bank losing 1.1%.
Gulf markets rise on higher oil prices, Abu Dhabi falls
Saudi Arabia’s benchmark index edged down, with media giant MBC Group, snapping a seven-day winning streak, falling 9.9%.
Since its debut on Jan. 08, the MBC group has risen 188% against its initial public offering price of 25 riyals per share.
Dubai’s main share index advanced 0.6%, led by a 8.9% jump in Mashreq Bank.
The Dubai stock market could continue to find support in the positive local fundamentals. Attention could also turn to earnings releases, which might affect the market trajectory, said Laabi.
Outside the Gulf, Egypt’s blue-chip index dropped 1.6%, retreating from record peak, as most of its constituents were in negative territory, including tobacco monopoly Eastern Company, which slid 4.9%.
======================================= SAUDI ARABIA was flat at 12,105 ABU DHABI fell 0.3% to 9,653 DUBAI added 0.6% to 4,108 QATAR eased 0.1% to 10,362 EGYPT lost 1.6% to 27,587 BAHRAIN was up 0.1% to 1,996 OMAN gained 0.4% to 4,625 KUWAIT rose 0.6% to 8,029 =======================================
Comments