Thursday 17 March 2022

Most Gulf bourses rise tracking oil prices; financials boost #Saudi | Reuters

Most Gulf bourses rise tracking oil prices; financials boost Saudi | Reuters


Most stock markets in the Gulf ended higher on Wednesday, as oil prices jumped after the International Energy Agency said three million barrels a day of Russian oil and products could be shut in from next month.

Oil prices, a key factor for the Gulf's financial markets, climbed 4%, with the Benchmark Brent crude futures adding $4 to $102.02 a barrel by 0926 GMT. read more

"Gulf Cooperation Council stock markets were mostly performing positively today while investors return to the market to buy the dip after a week of price corrections," wrote Miguel Rodriguez, chief market analyst at CAPEX.com.

Rodriguez added uncertainties on the supply availability of oil amid rising COVID-19 cases in China are still weighing on sentiment.

The Qatari benchmark (.QSI) gained 0.9%, buoyed by a 7.5% rise in Investment Holding Group (IGRD.QA) after the real estate financier secured regulatory approval to buy out Elegancia Group.

Saudi Arabia's benchmark index (.TASI) advanced 0.9%, with Saudi Industrial Investment Group (2250.SE) jumping 7%.

The index was boosted by financial companies such as Bupa Arabia (8210.SE), Salama Cooperative Insurance (8050.SE), and Bank Aljazira (1020.SE).

"The Saudi stock market saw its main index rise thanks to the expected boost IPOs could bring to the market throughout this year. This comes in parallel to the solid economic growth recorded in the country," said Rodriguez.

IPO activity in Saudi has been seeing a recent boom following the listing of Saudi Aramco (2222.SE) in 2019.

In Abu Dhabi, the index (.FTFADGI) added 0.2%, while Dubai's main share index (.DFMGI) advanced 1.1%.

Heavyweights Dubai Financial Market (DFM.DU) and Emaar Development (EMAARDEV.DU) boosted Duabi's main index.

Outside the Gulf, Egypt's blue-chip index (.EGX30) edged 0.2% higher.

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