Major stock markets in the Gulf nudged higher early on Monday as investors awaited clarity on US President Donald Trump’s next tariff move amid heightened regional geopolitical tensions.
Trump’s reciprocal tariffs, due to take effect on April 2, are expected to fuel inflation and stunt economic growth.
However, Trump suggested on Friday that there may be some flexibility regarding tariffs, potentially softening their impact.
Saudi Arabia’s benchmark index added 0.1%, helped by a 1.3% rise in Saudi Arabian Mining Company.
Elsewhere, Umm Al Qura for Development and Construction surged 30% - the maximum daily limit allowed for newly-listed stocks during their first three days of trading - to 19.5 riyals in its debut trading.
Dubai’s main share index was up 0.1%, with toll operator Salik rising 1% and utility firm Dubai Electricity and Water Authority gaining 2.6%.
Meanwhile, escalating geopolitical concerns led investors to exercise caution and retreat from riskier investments.
Banks and industrial stocks drag Dubai lower, Abu Dhabi flat
An Israeli airstrike at a hospital in Gaza on Sunday killed five people, including a Hamas political leader, Palestinian medics and Hamas said, in an attack Israel had targeted a key figure in the militant group.
After two months of relative calm in the war, Gazans have again been fleeing for their lives after Israel effectively abandoned a ceasefire, launching a new all-out air and ground campaign on Tuesday against Hamas.
In Abu Dhabi, the index rose 0.1%.
Oil prices - a catalyst for the Gulf’s financial markets - inched up as investors weighed the impact of fresh US sanctions on Iranian exports against ceasefire talks aimed at ending the Russia-Ukraine war, which could lead to an increase in Russian supplies to global markets.
The Qatari index gained 0.2%, with Qatar Navigation increasing 1.6%.
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