Business
Most Gulf markets rise on oil, Fed rate cut hopes
Most Gulf markets rise on oil, Fed rate cut hopes
About this update from Al Rajhi Bank
By Ateeq Shariff Most stock markets in the Gulf ended higher on Monday, helped by rising oil prices and positive market sentiment amid growing expectations of additional Federal Reserve rate cuts.Oil prices - a catalyst for the Gulf's financial markets - rose after the U.S. intercepted an oil tanker in international waters off the coast of Venezuela and tensions in Russia's war against Ukraine remained high, both of which raised fears of supply disruptions.Saudi Arabia's benchmark index TADAWUL:TASI gained 0.7%, led by a 1.6% rise in Al Rajhi Bank TADAWUL:1120.Saudi Arabian Mining Company (Ma'aden) TADAWUL:1211 jumped 5.3% after it secured Ministry of Energy's approval last week for feedstock allocation to launch its fourth phosphate project.Dubai's main share index DFM:DFMGI closed 0.7% higher, with top lender Emirates NBD DFM:EMIRATESNBD adding support.In Abu Dhabi, the index ADX:FADGI advanced 0.7%. Markets are currently pricing in two U.S. rate cuts for next year despite the Fed signalling caution. Monetary policy shifts in the U.S. have a significant impact on Gulf markets, where most currencies are pegged to the dollar.The Qatari index QSE:GNRI was up 0.8%, supported by a 1.5% gain in the Gulf's biggest lender Qatar National Bank QSE:QNBK. Outside the Gulf, Egypt's blue-chip index EGX:EGX30 dropped 0.6%, hit by a 2.4% fall in Commercial International Bank EGX:COMI.Saudi ArabiaTADAWUL:TASI climbed 0.7% to 10,552Abu DhabiADX:FADGI gained 0.7% 10,036DubaiDFM:DFMGI rose 0.7% to 6,158QatarQSE:GNRI added 0.8% to 10,801EgyptEGX:EGX30 lost 0.6% to 41,103BahrainBAHRAIN:BHBX eased 0.2% to 2,062Oman(.MSX30) fell 0.2% to 5,944Kuwait(.BKP) was up 0.1% to 9,568