MIDEAST STOCKS-Major Gulf markets gain as financial shares rise | Nasdaq

MIDEAST STOCKS-Major Gulf markets gain as financial shares rise | Nasdaq:

Major stock markets rose in early trade on Monday, with gains in National Commercial Bank and Samba Financial Group helping the Saudi index after they signed a binding merger agreement.

The benchmark index .TASI in Saudi Arabia gained 0.2%, with Samba Financial Group 1090.SE rising 2.7%, while National Commercial Bank (NCB) 1180.SE was up 1.7%.

National Commercial Bank, the kingdom's biggest lender, entered a binding merger agreement with smaller lender Samba Financial Group to create a combined entity with 837 billion riyals ($223.13 billion) in assets, NCB said on Sunday.

Low oil prices and weak economic growth are driving bank consolidation across the Gulf.

Dubai's main share index .DFMGI rose 0.4%, with blue-chip developer Emaar Properties EMAR.DU gaining 1.5% and it unit Emaar Malls EMAA.DU was up 2.1%.

Dubai's non-oil private sector expanded for a third consecutive month in September as it continued to see a modest improvement in business conditions, a survey showed on Sunday.

The seasonally adjusted IHS Markit Dubai Purchasing Managers' Index (PMI) rose to 51.5 in September from 50.9 in August.

The Abu Dhabi index .ADI added 0.3%, helped by a 0.5% rise in the country's largest lender First Abu Dabhi Bank FAB.AD and a 1.5% increase in Aldar Properties ALDAR.AD.

In Qatar, the index.QS inched up 0.2%, bolstered by a 0.6% rise in Qatar National Bank QNBK.QA, a day after it retreated 1.7%.

On Sunday, the Gulf's largest lender saw a roughly 18% decline in its third-quarter profit as it booked more loan loss provisions amid global economic uncertainty.