Mideast Stocks: Most Gulf markets fall on Fed rate cut concerns

Telecom Egypt SAE

17/11/2024 13:40

By Md Manzer Hussain
       Nov 17 (Reuters) - Most Gulf stock markets fell on
Sunday after U.S economic data and comments from Federal Reserve
officials pointed to a slower pace of interest-rate cuts.
    Investors increased bets on the Fed leaving interest rates
unchanged at its December meeting and dialled back expectations
for easing in 2025.
    The Fed's decisions have a significant impact on monetary
policy in the Gulf as most of the region's currencies are pegged
to the U.S. dollar.
    The Qatari benchmark index  .QSI  slipped 0.4%, with almost
all of its constituents falling, led by the finance,
communication and energy sectors.
    Qatar National Bank  QNBK.QA , the region's largest lender,
lost 1.4% and Qatar Navigation  QNNC.QA  was down 1.1%.
    Saudi Arabia's benchmark index  .TASI  snapped three
sessions of losses, edging up 0.2% helped by gains in the IT,
utilities, real estate, industry, healthcare and insurance
sectors.
    Medgulf  8030.SE  rose 10% for its biggest daily gain in
more than six months. The insurer said in a statement to the 
Saudi Exchange that it had received a circular from the
Insurance Authority on a new mechanism for allocating
reinsurance premiums to the local market.
    All bar two insurance stocks closed higher with Al Rajhi
Company For Cooperative Insurance  8230.SE  up 3.9%, and Saudi
Reinsurance  8200.SE  gaining 6.9%.
    Saudi Re said in a statement that the new mechanism would
help increase Saudi reinsurance revenue by more then 5% from
2023.
    Outside the Gulf, Egypt's blue-chip index  .EGX30  reversed
the previous session's gain with a 0.7% fall, with most sectors
in the red. Telecom Egypt  ETEL.CA  lost 2.6% after it reported
a 13% decrease in quarterly net profit on Thursday. 
    However, Juhayna Food  JUFO.CA  gained 3.7% after it posted
around a 200% jump in third quarter net profit. 
    
 SAUDI ARABIA    .TASI  rose 0.2% to 11,812
 KUWAIT          .BKP  was up 0.2% to 7,849
 QATAR           .QSI  lost 0.4% to 10,411
 EGYPT           .EGX30  dropped 0.7% to 31,252
 BAHRAIN         .BAX  ended flat to 2,053
 OMAN            .MSX30  was down 0.4% to 4,626
 

 (Reporting by Md Manzer Hussain; Editing by Kirsten Donovan)
 ((mdmanzer.hussain@thomsonreuters.com; +91 8067498453;))