#Saudi bourse gains on rising oil prices, #Qatar extends losses | Reuters

Saudi bourse gains on rising oil prices, Qatar extends losses | Reuters

Saudi Arabia's stock market rose in early trade on Wednesday, tracking oil prices higher on optimism over China's recovery, although the Qatari index was on course to extend losses for a sixth session.

Oil prices - a key catalyst for the Gulf's financial markets - rose around 1%, extending early gains on optimism that the lifting of China's strict COVID-19 curbs will lead to a recovery in fuel demand in the world's top oil importer.

Saudi Arabia's benchmark index (.TASI) was up 0.2%, helped by a 1.2% rise in Saudi Arabian Mining Co (1211.SE).

China's economic growth slowed sharply to 3% in 2022, missing the official target of around 5.5% and marking its second-worst performance since 1976. But the data still beat analysts' forecasts after China started rolling back its zero-COVID policy in early December. Analysts polled by Reuters see 2023 growth rebounding to 4.9%.

OPEC said on Tuesday Chinese oil demand would rebound this year due to relaxation of the country's COVID-19 curbs and drive global growth, and sounded an optimistic note on the prospects for the world economy in 2023.

The Qatari index (.QSI) eased 0.1%, hit by a 3.3% slide in Commercial Bank (COMB.QA).

Dubai's main share index (.DFMGI) dropped 0.2%, on track to end a four-session winning streak, with sharia-compliant lender Dubai Islamic Bank (DISB.DU) losing more than 1%.

Among other losers, blue-chip developer Emaar Properties (EMAR.DU) was down 0.3%.

Residential property prices in Dubai are expected to rise at a slower pace in 2023 after a record year that saw a more than 60% increase in total units sold, according to one of the city's biggest real estate consultancies.