Gulf Stocks Gain Most in 5 Months, Oil Climbs on Europe Rescue - Bloomberg.com

Gulf Stocks Gain Most in 5 Months, Oil Climbs on Europe Rescue - Bloomberg.com

Gulf stocks jumped the most in five months and oil gained after European policy makers announced a $962 million loan package to bail out Greece and prevent a spreading of the debt crisis.

Shares also rose as the United Arab Emirates central bank governor said Dubai World debt talks appear to be “going very well.” Abu Dhabi Commercial Bank PJSC, one of Dubai World’s biggest lenders, increased 4.5 percent. Al Khalij Commercial Bank QSC gained the most in a year after it said it held talks for a possible “business combination.” Arabtec Holding PJSC rose the most in a week. The Bloomberg GCC 200 Index, of stocks in the Gulf region, rose 1.7 percent, the most since Dec. 14, at 3:48 p.m. in Dubai. Egypt’s EGX 30 Index gained 3.2 percent.

Gains in Gulf markets are “almost entirely” related to the loan package in Europe, said Julian Bruce, director of equity sales at EFG-Hermes Holding SAE. “The U.A.E. is cautiously upbeat, but there’s no dramatic spike as the market is widely regarded to have been bombed out.” The DFM General Index and Abu Dhabi’s measure increased 1.6 percent.