Business
Major Gulf markets subdued on soft oil prices
Major Gulf markets subdued on soft oil prices
About this update from Al Rajhi Bank
By Ateeq Shariff Most stock markets in the Gulf drooped on Wednesday, largely influenced by softer global oil prices.Oil prices - a catalyst for the Gulf's financial markets - fell nearly 1%, weighed down by oversupply in the market, while expectations that an end to the longest-ever U.S. government shutdown could boost oil demand curbed losses.Analysts have previously highlighted that crude oversupply is curbing price gains. Earlier this month OPEC+ agreed to a pause in increasing its output in the first quarter of next year, after having unwound its cuts to production since August this year.Saudi Arabia's benchmark index TADAWUL:TASI fell 0.1%, hit by a 0.9% drop Al Rajhi Bank TADAWUL:1120 and a 1% decline in Saudi Telecom Company TADAWUL:7010.Dubai's main share index DFM:DFMGI declined 0.5%, dragged down by a 2% slide in toll operator Salik DFM:SALIK and a 1.1% fall in top lender Emirates NBD DFM:EMIRATESNBD.However, Dubai Electricity and Water Authority DFM:DEWA rose 0.4%, after reporting a rise in quarterly profit.In Abu Dhabi, the index ADX:FADGI was down 0.4%, with Aldar Properties ADX:ALDAR retreating 1.6%.On the other hand, Dana Gas ADX:DANA closed 0.7% higher. The energy firm said on Wednesday it had signed a preliminary deal with Syria's state oil company to assess redeveloping natural gas fields crippled in the 13-year civil war that made Syria reliant on imports from Iran.The Qatari index QSE:GNRI was down 0.2%, with Qatar Islamic Bank QSE:QIBK losing 0.6%.Outside the Gulf, Egypt's blue-chip index EGX:EGX30 edged 0.1% lower, pulling further back from record highs hit on sunday, with tobacco monopoly Eastern Company EGX:EAST losing 3.5%.Saudi ArabiaTADAWUL:TASI fell 0.1% to 11,255Abu DhabiADX:FADGI retreated 0.4% to 9,994DubaiDFM:DFMGI lost 0.5% to 6,042QatarQSE:GNRI declined 0.5% to 11,082EgyptEGX:EGX30 down 0.1% to 40,229 BahrainBAHRAIN:BHBX was flat at 2,075Oman(.MSX30) gained 0.5% to 5,720Kuwait(.BKP) dropped 0.3% to 9,440