Most stock markets in the Gulf ended higher on Tuesday helped by a rebound in oil prices while investors awaited the Federal Reserve’s monetary policy meeting.
Oil - a catalyst for the Gulf’s financial markets – gained more than $1 per barrel, rebounding on technical factors and bargain hunting after a decision by OPEC+ to boost output sent prices down the previous session, although concerns about a market surplus persisted.
Saudi Arabia’s benchmark index edged 0.1% higher, Al Rajhi Bank and the country’s biggest lender Saudi National Bank rising 0.9% each.
The Saudi stock market exhibited another muted performance today, with sectors showing mixed results as investors displayed uncertainty while awaiting further earnings announcements from major companies, said Milad Azar Market analyst at XTB MENA.
Separately, the kingdom’s budget airline flynas, backed by billionaire Prince Alwaleed Bin Talal, is planning to start a public share offering later this month, it said on Monday, in the first IPO of a Gulf airline in nearly two decades.
Dubai’s main share index added 0.2%, supported by a 2.6% rise in blue-chip developer Emaar Properties.
In Abu Dhabi, the index finished 0.6% higher.
Most Gulf markets ease on falling oil prices
The Fed’s interest rate decision on Wednesday and Chair Jerome Powell’s comments will be closely watched for clues into the central bank’s rate trajectory. The Fed has held its policy rate in the 4.25%-4.50% range since last December.
The Fed’s decisions impact monetary policy in the Gulf, where most currencies, including the riyal, are pegged to the U.S. dollar.
The Qatari index gained 0.3%, with the Gulf’s biggest lender Qatar National Bank rising 1.1%.
Investor attention remains on the possibility of easing trade tensions between the U.S. and China after Beijing last week said it was evaluating an offer from Washington to hold talks over tariffs.
Outside the Gulf, Egypt’s blue-chip index concluded 0.3% higher.
---------------------------------------- SAUDI ARABIA rose 0.1% to 11,434 Abu Dhabi up 0.6% to 9,623 Dubai added 0.2% to 5,353 QATAR gained 0.3% to 10,484 EGYPT up 0.2% to 32,285 BAHRAIN edged 0.1% up to 1,907 OMAN added 0.1% to 4,342 KUWAIT rose 0.3% to 8,635 ----------------------------------------
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