By Md Manzer Hussain
Most Gulf stock markets were subdued on Monday as investors turned cautious ahead of key U.S. economic data that could shape the interest rate outlook.
The upcoming employment, inflation and other indicators are especially critical after a 43-day U.S. federal government shutdown delayed key reports, leaving investors and the Federal Reserve with little certainty.
The Fed last week cut rates by 25 basis points for a third straight meeting but signalled further reductions are unlikely in the near term as it waits for clearer data.
U.S. monetary policy shifts have a significant impact on Gulf markets, where most currencies are pegged to the dollar.
The Qatari benchmark index QSE:GNRI fell 0.9%, with all constituents in negative territory. Qatar Islamic Bank QSE:QIBK slipped 2.4% and Qatar Electricity and Water Co QSE:QEWS dropped 1.8%.
Dubai's benchmark stock index DFM:DFMGI edged 0.1% lower, weighed down by a 9.7% slide in Gulf Navigation DFM:GULFNAV and a 0.7% decline in Emirates NBD DFM:EMIRATESNBD, the emirate's largest lender. Ajman Bank DFM:AJMANBANK gained 3.1% after the Ajman government said on Friday it had raised its stake in the bank to 33.1% from 31.1%.
Saudi Arabia's benchmark stock index TADAWUL:TASI ended flat, with Saudi Basic Industries Corp TADAWUL:2010 down 1.3% and Riyad Bank TADAWUL:1010 off 1.1%. Fawaz Abdulaziz Al Hokair & Co TADAWUL:4240 rose 1.6% after the retailer signed a 1.58 billion riyal ($421 million) facilities agreement on Sunday.
The Abu Dhabi benchmark index ADX:FADGI was little changed as gains in technology, real estate, healthcare and energy offset losses elsewhere.
Abu Dhabi Commercial Bank ADX:ADCB added 1.1%, while Invictus Investment (INVI.AD) jumped 10.2%, its biggest intraday gain in more than three years, after the diversified trading company said on Friday that International Holding Company ADX:IHC had increased its stake to about 40% in a block trade valued at around 420 million dirhams ($114.36 million).
Abu Dhabi Ship Building ADX:ADSB declined 1.3% after the shipbuilder's board approved a $1.89 billion deal with EDGE Acquisitions Company to build eight vessels for the Kuwaiti government.
Outside the Gulf, Egypt's blue-chip index EGX:EGX30 rose 0.6% for a second straight session, supported by a 1.4% gain in Commercial International Bank EGX:COMI and a 2.8% rise in Palm Hills Developments EGX:PHDC which on Sunday signed an agreement with Marriott International to develop a new luxury hotel in Cairo.
SAUDI ARABIA
TADAWUL:TASI ended flat at 10,590
KUWAIT
(.BKP) lost 0.7% to 9,649
QATAR
QSE:GNRI fell 0.9% to 10,758
EGYPT
EGX:EGX30 gained 0.6% to 42,305
BAHRAIN
BAHRAIN:BHBX up 0.1% to 2,058
OMAN
(.MSX30) rose 0.5% to 5,986
ABU DHABI
ADX:FADGI ended flat at 9,988
DUBAI
DFM:DFMGI down 0.1% to 6,089
($1 = 3.6728 UAE dirham)
($1 = 3.7519 riyals)