Major stock markets in the Gulf rose in early trade on Thursday as investors shifted focus to upcoming corporate earnings announcements and rising oil prices.
Saudi Arabia's benchmark index TADAWUL:TASI gained 0.2%, with Al Rajhi Bank TADAWUL:1120 rising 0.6% and oil behemoth Saudi Aramco TADAWUL:2222 climbing 1.4%.
Most Gulf Cooperation Council economies will expand steadily this year and next on rising oil production, according to economists in a Reuters poll who upgraded this year's growth expectations for Saudi Arabia - the region's biggest economy.
Oil prices - a catalyst for the Gulf's financial markets - rose around 1% after U.S. President Donald Trump said Indian Prime Minister Narendra Modi had pledged his country would stop buying oil from Russia, a move that could drain supply elsewhere.
Dubai's main share index DFM:DFMGI added 0.3%, buoyed by a 5.2% jump in top lender Emirates NBD (ENBD) DFM:EMIRATESNBD. Earlier this week, Reuters reported that ENBD is in talks to buy a stake in Indian private lender RBL Bank NSE:RBLBANK, via a preferential issue. The Reserve Bank of India, the country's banking regulator, has backed the proposal in informal discussions, Reuters reported.
On Wednesday, RBL Bank said it will consider a proposal to raise funds at its board meeting on October 18.
In Abu Dhabi, the index ADX:FADGI rose 0.3%, with Multiply Group ADX:MULTIPLY jumping 3.9% after the investment holding company's board approved a plan to acquire 2PointZero and Ghitha Holding ADX:GHITHA through a share swap.
Conglomerate International Holding Co ADX:IHC - which also owns Multiply Group - announced plans on Wednesday to merge several of its portfolio companies into a single investment holding company valued at 120 billion dirhams ($32.67 billion).
The Qatari index QSE:GNRI was up 0.8%, led by a 2.9% rise in Qatar Islamic Bank QSE:QIBK.
($1 = 3.6729 UAE dirham)