Business
Most Gulf bourses gain on US rate cut hopes, oil
Most Gulf bourses gain on US rate cut hopes, oil
About this update from Al Rajhi Bank
By Ateeq Shariff Most Gulf stock markets closed higher on Tuesday as investor optimism over potential U.S. interest rate cuts and steady oil prices eclipsed concerns over the U.S. government shutdown.As the shutdown extends into its second week, investors are turning to private and alternative economic data to gauge the U.S. interest rate trajectory, with a 25 basis point rate cut at this month's policy meeting appearing nearly fully priced in.The Fed's stance carries heavy clout in the Gulf, where most currencies are pegged to the U.S. dollar, anchoring regional monetary policy.Dubai's main share index DFM:DFMGI rose 0.5%, with top lender Emirates NBD DFM:EMIRATESNBD advancing 2.6%.In Abu Dhabi, the index ADX:FADGI finished 0.2% higher.Oil prices - a catalyst for the Gulf's financial markets - were steady as investors weighed a smaller than expected increase to OPEC+ output in November against a backdrop of possible oversupply.The Qatari index QSE:GNRI added 0.2%, supported by a 0.8% gain in Qatar Islamic Bank QSE:QIBK.Market participants also assessed U.S. President Donald Trump's plan to end the two-year Gaza conflict, seeking relief from persistent geopolitical strains.Saudi Arabia's benchmark index TADAWUL:TASI, however, fell 0.2%, snapping two sessions of gains, hit by a 1.8% fall in Saudi Arabian Mining Company TADAWUL:1211.Outside the Gulf, Egypt's blue-chip index EGX:EGX30 finished flat.Egypt's annual headline inflation rate is expected to have decreased for a fourth month running in September to 11.0%, extending a two-year downward trend, a Reuters poll found.Saudi ArabiaTADAWUL:TASI fell 0.2% to 11,583Abu DhabiADX:FADGI added 0.2% to 10,082DubaiDFM:DFMGI rose 0.5% to 5,940QatarQSE:GNRI gained 0.2% to 10,912EgyptEGX:EGX30 ended flat at 37,097BahrainBAHRAIN:BHBX was up 0.5% to 1,976Oman(.MSX30) eased 0.1% to 5,181Kuwait(.BKP) rose 0.4% to 9,319