Mideast Stocks: Most Gulf markets in black on slowing US inflation; Saudi slips

Eastern

13/07/2023 14:36

By Ateeq Shariff
       July 13 (Reuters) - Most stock markets in the Gulf ended
higher on Thursday, driven by hopes that slowing U.S. inflation
will convince the Federal Reserve to hit the pause button on
interest rate hikes after this month.
    Most Gulf Cooperation Council (GCC) countries, including
Qatar, Saudi Arabia and the United Arab Emirates, have their
currencies pegged to the U.S. dollar and follow Fed policy moves
closely, exposing the region directly to monetary tightening in
the world's largest economy.
    Dubai's main share index  .DFMGI  gained 0.4%, closing at
its highest since Dec. 2015, led by a 1.6% rise in
sharia-compliant lender Dubai Islamic Bank  DISB.DU , while
Commercial Bank of Dubai  CBD.DU  advanced 2.6%.
    The lender reported second-quarter net profit of 650.3
million dirhams ($177.05 million), up from 435.1 million dirhams
a year ago.
    In Abu Dhabi, the index  .FTFADGI  gained 0.1%.
    The Qatari index  .QSI  climbed 0.9% with most of the stocks
in positive territory, including petrochemical maker Industries
Qatar  IQCD.QA , which ended up 3.7%.
    Global oil benchmark Brent hovered above $80 a barrel after
U.S. inflation data implied interest rates are close to their
peak.
    Saudi Arabia's benchmark index  .TASI  bucked the trend to
close 0.2% lower, hit by a 1.2% fall in Dr Sulaiman Al-Habib
Medical Services  4013.SE .
    However, the Saudi index posted its second weekly gain of
1%.
    The Saudi bourse saw some pressure after gains this month
and last, said Ahmed Negm, Head of Market Research MENA at
XS.com.
    "While some losses remain possible, improving sentiment,
stronger oil markets, and solid local fundamentals could push
the market to the upside next week."
    Outside the Gulf, Egypt's blue-chip index  .EGX30  advanced
1.2%, buoyed by a 4.2% rise in tobacco monopoly Eastern Company
 EAST.CA .
    The Egyptian stock market continued its rebound thanks to
improving global sentiment. At the same time, the market could
benefit from the efforts to move forward with the privatisation
program, said Negm.



   
    
 SAUDI ARABIA   .TASI  eased 0.2% to 11,708
 ABU DHABI      .FTFADGI  rose 0.1% to 9,627
 DUBAI          .DFMGI  added 0.4% to 4,005
 QATAR          .QSI  gained 0.9% to 10,217
 EGYPT          .EGX30  up 1.2% to 17,342
 BAHRAIN        .BAX  was up 0.2% to 1,975
 OMAN           .MSX30  lost 0.1% to 4,797
 KUWAIT         .BKP  added 0.2% to 8,142
 

($1 = 3.6729 UAE dirham)

 (Reporting by Ateeq Shariff in Bengaluru; Editing by Conor
Humphries)
 ((AteeqUr.Shariff@thomsonreuters.com; +918061822788;))