© Archyde.com. A screen showing stock data on the Saudi Stock Exchange in Riyadh – Photo from Archyde.com archive.
(Archyde.com) – Most of the major stock markets in the Gulf closed higher on Monday, as optimism over the outlook for Chinese energy demand and a softer hike in interest rates in the United States eased investor anxiety, but Qatar Stock Exchange extended its losses.
Oil prices, a major driver of financial markets in the Gulf, fell, but optimism that lifting anti-Corona restrictions in China, the world’s largest importer of crude, would increase fuel demand in the Asian country kept prices near their highest levels in 2023.
And it closed stable following the share of the Retal Urban Development Company rose 1.1 percent, and the share of the Saudi Arabian Mining Company (TADAWUL:) declined for the second session, to close down 2.4 percent.
It rose 0.5 percent, with the shares of First Abu Dhabi Bank rising 1.4 percent and Aldar Properties rising 2.3 percent.
Federal Reserve policymakers on Thursday expressed relief that inflation had continued to fall in December, paving the way for a less aggressive rate hike, possibly a quarter-point, when the central bank meets in less than three weeks.
Most Gulf currencies are pegged to the dollar, and Qatar, Saudi Arabia and the United Arab Emirates usually follow in the footsteps of any change in monetary policy in the United States.
It closed up 0.3 percent, supported by 1.4 percent gains for Emirates Central Cooling Systems Corporation (Empower) and 0.8 percent for Emirates NBD Bank (DFM:).
Meanwhile, the UAE decided to invest $30 billion in South Korean industries as part of the two countries’ efforts to enhance their economic cooperation.
The Qatari index fell 1.1 percent, down for the fifth session in a row, with almost all banking stocks falling. Qatar National Bank was the biggest loser, falling 3.2 percent, while Qatar Islamic Bank fell 3.4 percent.
Outside the Gulf region, the blue-chip index rose 1.8 percent, continuing its rise since Wednesday.
(Prepared by Muhammad Ali Farag for the Arabic Bulletin – Edited by Mustafa Saleh)
