By Ateeq Shariff
Stock markets in the Gulf ended mixed on Thursday, as declining oil prices weighed on sentiment, while a weak private U.S. labour market report fuelled optimism for potential Federal Reserve interest rate cuts.
The U.S.
Monetary policy shifts in the U.S. have a significant impact on Gulf markets, where most currencies are pegged to the dollar.
Saudi Arabia's benchmark index TADAWUL:TASI dropped 0.3%, hit by a 1.1% fall in Al Rajhi Bank TADAWUL:1120 and a 1.8% decrease in the biggest lender by assets, Saudi National Bank TADAWUL:1180.
Overall market sentiment remains positive, and further gains are possible given the solid fundamentals, said Milad Azar, Market Analyst at XTB MENA. However, lower oil prices pose a risk, as additional losses could negatively impact investor confidence, he said.
The Saudi Capital Market Authority called for a public consultation on opening its main stock market to all categories of non-resident foreign investors and enabling them to directly invest in it, the regulator said on Wednesday.
Dubai's main share index DFM:DFMGI gained 0.5%, with blue-chip developer Emaar Properties DFM:EMAAR rising 1.9%.
In Abu Dhabi, the index ADX:FADGI rose 0.4%.
The Qatari index QSE:GNRI fell 0.8%, weighed down by a 1.5% fall in Qatar Islamic Bank QSE:QIBK.
Oil prices - a catalyst for the Gulf's financial markets - edged lower, extending declines into a fourth day due to concerns about oversupply.
Outside the Gulf, Egypt's blue-chip index EGX:EGX30 concluded 0.4% higher, with Commercial International Bank EGX:COMI rising 1.3%.
Saudi Arabia
TADAWUL:TASI eased 0.3% to 11,496
Abu Dhabi
ADX:FADGI rose 0.4% to 10,065
Dubai
DFM:DFMGI added 0.5% to 5,916
Qatar
QSE:GNRI dropped 0.8% to 10,863
Egypt
EGX:EGX30 gained 0.4% to 36,901
Bahrain
BAHRAIN:BHBX was up 0.1% to 1,953
Oman
(.MSX30) down 0.2% to 5,178
Kuwait
(.BKP) fell 0.4% to 9,316