Gulf stocks fall on Fed rate uncertainty, weaker oil prices

About this update from Retal Urban Development Company

By Md Manzer Hussain Gulf stock markets tracked global equities lower in early trade on Tuesday, as caution prevailed ahead of delayed U.S. economic data that could provide cues on the Federal Reserve's policy easing timeline, while weaker oil prices also dampened sentiment.The September U.S. non-farm payrolls report will be released on Thursday. Markets have trimmed bets on a December Fed rate cut, now pricing in just over a 40% chance of a 25-basis-point reduction, down from more than 60% earlier this month.Monetary policy shifts in the U.S. have a significant impact on Gulf markets, where most currencies are pegged to the dollar.Meanwhile, oil, a key driver for Gulf financial markets, fell nearly 1% as supply concerns eased with the resumption of loadings at a Russian export hub. Brent crude was trading at $63.64 a barrel by 0810 GMT. The Qatari benchmark index QSE:GNRI fell 1.3%, pressured by broad-based declines. Industries Qatar QSE:IQCD shed 1.9%, while Ooredoo QSE:ORDS slumped 6.6%. The telecoms firm said on Monday that Abu Dhabi Investment Authority would sell 160.5 million of its existing shares in Ooredoo.Dubai's benchmark stock index DFM:DFMGI slipped 0.6%, with almost all constituents in negative territory. Emaar Properties DFM:EMAAR lost 0.7%, while Spinneys 1961 Holding DFM:SPINNEYS declined 1.9%.The Abu Dhabi benchmark index ADX:FADGI was down 0.5%, with most stocks in the red. Blue-chip developer Aldar Properties ADX:ALDAR fell 2.3%, and Two Point Zero Group ADX:2POINTZERO declined 6.1% after the investment platform - created via the merger of Multiply Group, 2PointZero and Ghitha - said on Monday it would list 23.36 billion new shares via a capital increase.Saudi Arabia's benchmark stock index TADAWUL:TASI traded in a narrow range and inched up marginally. Saudi Aramco TADAWUL:2222 shed 0.8% and ADES Holding TADAWUL:2382 lost 2%.Retal Urban Development TADAWUL:4322, however, jumped 7.1%, its biggest intraday gain in a year, after the developer was awarded a 5.2 billion riyal ($1.39 billion) contract by National Housing Company to build residential units and related infrastructure in Riyadh.($1 = 3.7502 riyals)

View stock analysis, news, and events for Retal Urban Development Company