Business
Major Gulf markets gain on progress in US-China trade talks
Major Gulf markets gain on progress in US-China trade talks
About this update from Al Rajhi Bank
Major stock markets in the Gulf rose in early trade on Wednesday in line with Asian shares, on signs of progress in trade talks between the U.S. and China.Top officials of both the countries said on Tuesday they had agreed on a framework to get their trade truce back on track and remove China's export restrictions on rare earths.MSCI's broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) rose 0.5%. Saudi Arabia's benchmark index TADAWUL:TASI - which traded after a four session break - advanced 1.2%, led by a 1.7% rise in Al Rajhi Bank TADAWUL:1120 and a 1.6% increase in oil giant Saudi Aramco TADAWUL:2222.The kingdom's crude oil supply to China is set to dip slightly in July, Reuters reported on Tuesday, citing trade sources, but still strong for a third straight month as the OPEC kingpin regains its market share supplying the world's top crude importer.Dubai's main share index DFM:DFMGI added 0.1%, helped by a 1.1% rise in blue-chip developer Emaar Properties DFM:EMAAR.In Abu Dhabi, the index ADX:FADGI inched 0.1% higher, with ADNOC Gas ADX:ADNOCGAS climbing 1.2%.ADNOC Gas said on Tuesday it had taken a final investment decision on the first phase of its Rich Gas Development (RGD) Project, awarding $5 billion in contracts to expand and improve efficiency at the project.Elsewhere, chemicals maker Borouge ADX:BOROUGE gained 0.6% after awarding a $531 million contract to ADNOC Logistics & Services ADX:ADNOCLS for streamlining maritime deliveries. Separately, the rush of financial firms setting up in Abu Dhabi to tap the oil-rich emirate's wealth funds and Middle East markets will continue at pace, the official in charge of expanding its financial hub has predicted.The Qatari index QSE:GNRI rose 0.4%, led by a 0.4% increase in the Gulf's biggest lender Qatar National Bank QSE:QNBK.