MIDEAST STOCKS-Gulf markets mostly rebound, tracking oil, Asian shares | Nasdaq

MIDEAST STOCKS-Gulf markets mostly rebound, tracking oil, Asian shares | Nasdaq:

Stock markets in the Middle East rebounded on Tuesday, in line with oil prices and Asian shares as investors bet the U.S Federal Reserve's promise of unlimited dollar funding would ease intense strains in financial markets.

In its latest mould-breaking step, the Fed offered to buy unlimited amounts of assets to steady markets and expanded its mandate to corporate and municipal bonds.

Brent crude oil LCOc1 rose by 62 cents, or 2.3%, to $27.65 a barrel by 0346 GMT.

Saudi Arabia's benchmark index .TASI gained 2.7%, driven by a 3.3% rise in oil giant Saudi Aramco 2222.SE and a 2.1% increase in Al Rajhi Bank 1120.SE.

The kingdom's central bank on Monday announced it will provide financing for micro, small and medium enterprises amounting to 13.3 billion riyals ($3.54 billion), Reuters reported citing state TV El Akhbariya.

In Dubai, the index .DFMGI added 0.9%, with blue-chip developer Emaar Properties EMAR.DU climbing 6.4% and Emirates NBD Bank ENBD.DU gaining 2.1%.