Major Gulf equity markets ended higher on Tuesday, supported by growing optimism over easing trade tensions that boosted risk appetite, with market focus shifting to the upcoming Federal Reserve policy meeting. Corporate results, however, contributed only limited support to market sentiment.
Top Chinese and U.S. economic officials hashed out the framework of a deal for U.S. President Donald Trump and Chinese President Xi Jinping to decide on later this week, easing fears that tariffs and export curbs between the world’s top two oil consumers could dent global growth.
Saudi Arabia’s benchmark index rose 0.5%, led by a 1.7% rise in Saudi National Bank the country’s biggest lender by assets.
However, Leejam Sports plunged 10% to be the biggest loser on the Saudi index, following a steep fall in third-quarter profit.
The sports firm, which recorded its biggest intraday fall in nearly six-months, also slashed its quarterly dividend to 0.95 riyal per share from 2.14 riyals.
Dubai’s main share index added 0.5%, bolstered by a 1.7% rise in blue-chip developer Emaar Properties .
In Abu Dhabi, the index dropped 0.3%, hit by a 2.8% fall in Abu Dhabi Commercial Bank , even as the lender reported a rise in third-quarter profit. The country’s sovereign wealth fund Mubadala, the bank’s largest shareholder, plans to exercise all of its rights to subscribe in full for its proportional entitlement of the new shares in a rights issue.
Oil prices - a catalyst for the Gulf’s financial markets - fell by more than 1% in a third day of declines as investors assess the effect of U.S. sanctions on Russia’s two biggest oil companies along with a potential OPEC+ plan to raise output.
The Qatari index rose 0.3%, with petrochemical maker Industries Qatar gaining 1.5%, ahead of its earnings announcement later in the day.
On the other hand, Qatar Aluminum Manufacturing Company dropped more than 3%, after reporting a mere 0.5% increase in quarterly profit.
Outside the Gulf, Egypt’s blue-chip index finished 0.4% higher, with tobacco monopoly Eastern Company jumping 4.3%, rising for a fourth consecutive session.
Last week, Eastern reported an annual net profit of 9.71 billion Egyptian pounds ($204.42 million), up from 9.18 billion Egyptian pounds a year earlier.
---------------------------------------- Saudi Arabia gained 0.5% to 11,674 Abu Dhabi fell 0.3% to 10,165 Dubai gained 0.5% to 6,070 Qatar was up 0.3% to 10,925 Egypt added 0.4% to 38,305 Bahrain lost 0.6% to 2,033 Oman advanced 1.7% to 5,526 Kuwait rose 0.5% to 9,444 ----------------------------------------
Comments
Comments are closed for this article.