Monday, 18 July 2022

#Saudi index outperforms Gulf peers as oil prices rise | Reuters

Saudi index outperforms Gulf peers as oil prices rise | Reuters


Most stock markets in the Gulf ended higher on Monday as an uptick in oil prices lifted sentiment in the oil-producing region, with the Saudi index leading the gains.

Crude prices, a key catalyst for the Gulf's financial markets, extended gains on a weaker dollar and tight supplies as concerns deepened around gas shipments from Russia. read more

The benchmark Saudi Arabian index (.TASI) added 2.3%, buoyed by a 3.3% rise in Riyad Bank (1010.SE) and a 2.8% increase in Banque Saudi Fransi (1050.SE).

The Saudi market saw a positive performance after the U.S. president's visit and as oil prices rose, said Farah Mourad, senior market analyst of XTB MENA.

"However, the market remains exposed to another round of price corrections since global economic conditions remain uncertain," Mourad added.

The recent pullback in oil prices and mounting recession fears had pushed the Saudi index to its lowest in more than six months on Thursday.

In Dubai, the main share index (.DFMGI) rose 0.3% on the back of a 2.7% jump in blue-chip developer Emaar Properties (EMAR.DU).

On the other hand, emirati supermarket chain Union Coop plunged about 9% in its market debut. The company, which operates 23 branches, is the largest consumer cooperative in the UAE, according to its website.

The Abu Dhabi market (.FTFADGI) edged 0.1% higher, with the United Arab Emirates' biggest lender First Abu Dhabi Bank (FAB.AD) rising 0.3%.

The Qatari index (.QSI) finished 1% higher, driven by a 10% jump in Qatar Navigation (Milaha) (QNNC.QA) after the shipping conglomerate won a more than 1.4 billion riyals ($384.62 million) contract from QatarEnergy.

Outside the Gulf, EGypt's blue-chip index (.EGX30) gained 1.1% as most of the stocks on the index were in positive territory.

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