Mideast Stocks: Most Gulf shares gain on US inflation relief; Egypt extends losses
23/12/2024 13:25
By Md Manzer Hussain
Dec 23 (Reuters) - Most stock markets in the Gulf ended
higher on Monday, in step with global equities, after
cooler-than-expected U.S. inflation data revived hopes of
further policy easing by the Federal Reserve.
Following November inflation data in the world's largest
economy, traders raised their rate cut bets for 2025, now
expecting a cut first in March and then again by October.
The Fed's decisions have a significant impact on the Gulf
region's monetary policy, as most currencies there are pegged to
the U.S. dollar.
Saudi Arabia's benchmark stock index .TASI bounced back
after two consecutive sessions of losses and gained 0.8%, with
most sectors in the green.
Insurer Medgulf 8030.SE climbed 4.2% after it signed a
contract to provide health insurance services to the state-owned
Saudi Electricity 5110.SE .
Knowledge Economic City Company 4310.SE gained 1.4% after
the developer said it has signed an agreement with Sidra Capital
and Raseel Properties to establish a 1.04-billion riyals
($276.75 million) investment fund.
The Abu Dhabi benchmark index .FTFADGI was up 0.5%. Food
retailer and real estate investor MAIR Group MAIR.AD surged
12.4%, while Abu Dhabi National Energy Company TAQA.AD gained
1.9%.
Energy firm TAQA said on Friday that its 43%-owned Masdar
had completed the acquisition of Saeta Yield for an implied
enterprise value of EUR 1.2 billion ($1.25 billion).
Dubai's benchmark stock index .DFMGI was little changed,
with Emaar Properties EMAR.DU slipping 1.6% and Emirates NBD
ENBD.DU , Dubai's largest lender, rising 3.7%.
The Qatari benchmark index .QSI fell 0.2%, with most
sectors in negative territory. Qatar National Bank QNBK.QA ,
the region's largest lender, fell 0.7% and telecom service
provider Ooredoo ORDS.QA shed 0.5%.
Meanwhile, Qatar's energy minister told the Financial Times
on Sunday that the country would stop shipping gas to the
European Union if member states strictly enforce a new law
cracking down on forced labour and environmental damage.
Outside the Gulf, Egypt's blue-chip index .EGX30 was down
for a second day, dropping 0.8%, with almost all stocks posting
losses. Commercial International Bank COMI.CA slipped 1.1% and
EFG Holding HRHO.CA slid 2.6%.
"(The) market trended lower as (a)correction phase
continued, with prices seeing strong volatility," said
Hani Abuagla, senior market analyst at XTB MENA.
"The market also awaits signs of improved economic stability
to boost investor sentiment."
SAUDI ARABIA .TASI rose 0.8% to 11,949
KUWAIT .BKP up 0.1% to 7,824
QATAR .QSI fell 0.2% to 10,537
EGYPT .EGX30 lost 0.8% to 30,118
BAHRAIN .BAX fell 0.3% to 1,988
OMAN .MSX30 up 0.1% to 4,493
ABU DHABI .FTFADGI gained 0.5% to 9,402
DUBAI .DFMGI ended flat at 5,056
($1 = 3.7573 riyals)
(Reporting by Md Manzer Hussain; Editing by Pooja Desai)
((mdmanzer.hussain@thomsonreuters.com; +91 8067498453;))