Mideast Stocks: Most Gulf markets gain on US debt ceiling deal; Abu Dhabi falls

Gulf Keystone Petroleum

29/05/2023 09:37

May 29 (Reuters) - Most stock markets in the Gulf rose
in early trading on Monday after lawmakers in Washington reached
a tentative agreement on the U.S. debt ceiling deal, although
concerns about more Federal Reserve interest rate hikes capped
gains.
    U.S. President Joe Biden and House Speaker Kevin McCarthy
forged an agreement at the weekend to suspend the $31.4 trillion
debt ceiling and cap government spending for two years. Both
leaders expressed confidence that members of the Democratic and
Republican parties will vote to support the deal.
    Saudi Arabia's benchmark index  .TASI  gained 0.2%, helped
by a 1.8% rise in Riyad Bank  1010.SE  and a 0.9% increase in
Alinma Bank  1150.SE .
    Among other gainers, United Electronics  4003.SE  climbed
about 4% after Reuters cited two sources familiar with the
matter as saying the firm is planning an initial public offering
of its Islamic consumer finance business, Tasheel Finance.
    Dubai's main share index  .DFMGI  added 0.5%, with
sharia-compliant lender Dubai Islamic Bank  DISB.DU  putting on
1.4%.
    In Qatar, the index  .QSI  was up 0.2%, with Qatar
Navigation  QNNC.QA  rising 1.9%.
    Crude prices - a key catalyst for the Gulf's financial
markets - rose on the U.S. debt ceiling deal, possibly averting
a default in the world's largest economy and oil consumer. 
    Prices gained following the U.S. debt ceiling talks and
after Saudi energy minister Abdulaziz bin Salman warned
short-sellers betting that oil prices will fall to "watch out"
for pain.
    The Abu Dhabi index  .FTFADGI  bucked the trend, trading
0.2% lower.
    

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