MIDEAST STOCKS- #Dubai leads wide gains on vaccine optimism | Nasdaq

MIDEAST STOCKS-Dubai leads wide gains on vaccine optimism | Nasdaq

Major Gulf markets gained in early trade on Tuesday, in line with wider Asia shares, as further positive news on COVID-19 vaccine development kept the momentum going, lifting optimism about a sooner-than-expected global economic recovery.

Investor sentiment got a major fillip for a second time in as many weeks when Moderna Inc MRNA.O on Monday became the second U.S. drugmaker after Pfizer PFE.N to announce promising trial data in the development of a vaccine against the pandemic.

Markets in the Gulf region were also helped by a rise in oil prices on expectations OPEC and its allies will extend production cuts for at least three months. O/R

OPEC and allies including Russia are leaning towards postponement of a planned January increase in oil output to support prices as the COVID-19 pandemic continues its second wave, sources told Reuters on Monday.

Saudi Arabia's benchmark index .TASI traded 0.3% higher, with consumer firm Savola Group 2050.SE gaining about 2%. Al-Rajhi Bank 1120.SE was the top gainer on the Saudi index, adding about 0.6%.

Dubai's main share index .DFMGI was up 0.8%, on track to post a third consecutive session of gains.

Real estate firm Emaar Properties EMAR.DU advanced 1.3%, while Dubai Islamic Bank DISB.DU tacked on nearly a percent.

Financial stocks boosted the Abu Dhabi index .ADI, which gained 0.7%. First Abu Dhabi Bank FAB.AD and Abu Dhabi Commercial Bank ADCB.AD tacked on 1.5% and 1.4%, respectively.

In Qatar, the index .QSI edged up 0.1%, with Commercial Bank COMB.QA leading the gains, trading 1.6% higher.