Most stock markets in the Gulf ended higher on Tuesday on the back of rising oil prices and corporate earnings, although gains were limited as focus shifted to the Federal Reserve's monetary policy decision due on Wednesday.
Oil prices - a key catalyst for the Gulf's financial markets - were steady. They hovered near three-month highs as signs of tighter supplies and pledges by Chinese authorities to shore up the world's second-biggest economy lifted sentiment, while weaker Western economic data weighed.
Saudi Arabia's benchmark index (.TASI) gained 0.7%, led by a 8.5% surge in Alinma Bank (1150.SE) after it reported a sharp rise in quarterly earnings.
The lender, which saw its biggest intraday gain in over three years, posted second-quarter net profit of 1.23 billion riyals ($327.97 million), up from 925.1 million riyals year ago.
Dubai's main share index (.DFMGI) finished 0.5% higher, driven by a 1.8% rise in sharia-compliant lender Dubai Islamic Bank (DISB.DU) and a 4.1% increase in Gulf Navigation (GNAV.DU).
In Abu Dhabi, the index (.FTFADGI) eased 0.2%.
The Abu Dhabi stock market saw limited price movements with caution taking hold ahead of the Federal Reserve meeting, said Farah Mourad, Senior Market Analyst of XTB MENA.
"Volatility in oil prices has also impacted the market's performance and could weigh on expectations. The main index could continue to see risks after a series of gains."
Most Gulf Cooperation Council countries, including the UAE, Saudi Arabia and Qatar, have their currencies pegged to the U.S. dollar and generally follow the Fed's policy moves, exposing the region to a direct impact from any monetary policy moves there.
Outside the Gulf, Egypt's blue-chip index (.EGX30) fell 0.4%. Most of the stocks on the index were in negative territory including Eastern Company (EAST.CA), which was down 1.9%.
According to Mourad, declining trading volume continued to weigh on the Egyptian bourse which saw some volatility over the last few days.
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