Major stock markets in the Gulf rose in early trade on Monday, recovering some of their losses from previous sessions when they were rattled by the escalating conflict between Israel and Iran.
Saudi Arabia’s benchmark index gained 1.2%, led by a 1.9% rise in Al Rajhi Bank and a 3.2% increase in Saudi Arabian Mining Company.
The index had fallen 1% on Sunday.
Oil prices - a catalyst for the Gulf’s financial markets -were volatile, after surging 7% on Friday, as renewed strikes by Israel and Iran over the weekend increased concerns that the battle could widen across the region and significantly disrupt oil exports from the Middle East.
The Qatari index advanced 1.7% - a day after falling more than 3% - buoyed by a 2.4% leap in Gulf’s biggest lender Qatar National Bank and a 1.5% gain in petrochemical maker Industries Qatar.
Major Gulf markets retreat on geopolitics
Iranian missiles struck Israel’s Tel Aviv and the port city of Haifa before dawn on Monday, destroying homes and fuelling concerns among world leaders at this week’s G7 meeting that the confrontation could lead to a broader regional conflict.
Israel said it had targeted Iran’s nuclear facilities, ballistic missile factories and military commanders on Friday at the start of what it warned would be a prolonged operation to prevent Tehran from building an atomic weapon.
Iran has promised a harsh response. Dubai’s main share index added 0.8%, with Parkin Company - which oversees public parking operations - rising 2.3% and toll operator Salik was up 0.7%.
In Abu Dhabi, the index edged 0.2% higher.
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