Most stock markets in the Gulf ended lower on Wednesday in line with global shares, as investors positioned their portfolios for the new year and grappled with increasing Omicron coronavirus cases globally.

Saudi Arabia's benchmark index dropped more than 1%, dragged down by a 1.4% fall in Al Rajhi Bank and a 1.7% decrease in Saudi Basic Industries - SABIC.

The Saudi stock market was volatile on Wednesday since investors remained uncertain as the rise in oil prices provided strong support while the increasing COVID-19 cases raised new doubts over the sanitary situation, said Farah Mourad, senior market analyst of XTB MENA.

Crude prices, a key catalyst for the Gulf's financial markets, edged higher as optimism refused to be beaten down by concerns around the impact of Omicron on global economies.

In Dubai, the main share index fell 0.8%, snapping four consecutive sessions of gains, weighed down by a 1.1% drop in top lender Emirates NBD Bank and a 0.7% decline in Dubai Islamic Bank.

The United Arab Emirates has approved emergency use of Sinopharm's protein-based COVID-19 vaccine and it will be available to the public as a booster dose starting January 2022, the health ministry said.

Most Gulf bourses close higher as Omicron worries ease

The UAE, a federation of seven emirates, on Tuesday reported 1,846 new coronavirus cases, up from 68 on Dec. 2. Authorities, which did not provide a breakdown for each emirate, said around 91% of the 10 million population had been fully vaccinated.

In Qatar, the benchmark closed flat, as gains in energy stocks helped cap losses in banking shares with Qatar Fuel rising 1.1%, while Qatar International Islamic Bank was down 1.1%.

Abu Dhabi's index, however, added 0.7%, helped by a 1.6% increase in the International Holding Company after its unit Multiply Group signed a binding commitment to invest 275 million dirhams ($74.88 million) in global visual content creator and marketplace Getty Images.

Multiply shares were up 1.7%.

Outside the Gulf, Egypt's blue-chip index, eased 0.1%, with Egypt Kuwait Holding losing 2.9%.

SAUDI ARABIA dropped 1% to 11,200

ABU DHABI gained 0.7% to 8,451

DUBAI lost 0.8% to 3,174

QATAR was flat at 11,679

EGYPT fell 0.1% to 11,898

BAHRAIN added 0.2% to 1,794

OMAN lost 0.1% to 4,136

KUWAIT traded flat at 7,651