Business
Most Gulf markets gain on oil, US rate cut bets
Most Gulf markets gain on oil, US rate cut bets
About this update from Al Rajhi Bank
By Ateeq Shariff Most stock markets in the Gulf ended higher on Sunday, buoyed by Friday's gains in oil prices and amid ongoing investor attention to U.S. data influencing the Fed's monetary policy outlook.Oil prices - a catalyst for the Gulf's financial markets - edged up on possible disruptions from a U.S. blockade of Venezuelan tankers as the market waits for news about a possible Russia-Ukraine peace deal.Saudi Arabia's benchmark index TADAWUL:TASI gained 0.3%, led by a 0.8% rise in oil behemoth Saudi Aramco TADAWUL:2222 and Al Rajhi Bank TADAWUL:1120, which was up 0.2%.Recent U.S. macroeconomic indicators have bolstered expectations for interest rate cuts, as U.S. consumer prices increased by 2.7% year-on-year in November, below economists' anticipated rise of 3.1%.In a separate report earlier this week, the U.S. Labor Department noted that the unemployment rate climbed to 4.6% in November, marking the highest level since September 2021.Traders continued to bet on at least two 25-basis-point interest rate cuts next year from the Fed, according to LSEG data.U.S. policy is closely watched in the Gulf, where most currencies are pegged to the dollar.In Qatar, the index QSE:GNRI closed 0.6% higher, with petrochemical maker Industries Qatar QSE:IQCD rising 0.6%.Outside the Gulf, Egypt's blue-chip index EGX:EGX30 advanced 1%, ending three sessions of losses, with Commercial International Bank EGX:COMI climbing 3.2%.Saudi ArabiaTADAWUL:TASI rose 0.3% to 10,485QatarQSE:GNRI added 0.6% to 10,716EgyptEGX:EGX30 gained 1% to 41,348BahrainBAHRAIN:BHBX eased 0.1% to 2,067Oman(.MSX30) was up 0.3% to 5,959Kuwait(.BKP) finished 0.3% higher to 9,563