Stock markets in the Gulf ended mixed on Wednesday after data showed that China slipped into deflation in July, a negative sign for the world economic growth outlook.
China data showed consumer prices fell 0.3% in July from a year earlier, the first decline since February 2021, although slightly better than the forecast of a 0.4% drop. Producer prices fell for a tenth consecutive month.
Dubai's main share index (.DFMGI) eased 0.2%, hit by a 0.6% fall in blue-chip developer Emaar Properties (EMAR.DU).
The Dubai stock market was seeing some volatility with traders considering economic developments in China, said Ahmed Negm, Head of Market Research MENA at XS.com
"At the same time, business conditions remain strong in Dubai and could help keep the market on a positive course despite some exposure to price corrections."
Saudi Arabia's benchmark index (.TASI) reversed early losses to close 0.4% higher, with Al Rajhi Bank (1120.SE) rising 1.4%.
Oil - which fuels the Gulf economy - hit new peaks with Brent crude touching the highest since April as tighter supply owing to Saudi and Russian output cuts offset concerns over slow demand from China and a report showing rising U.S. crude inventories.
In Abu Dhabi, the index (.FTFADGI) dropped 0.4%.
The Qatari benchmark (.QSI) added 0.3%, with petrochemical maker Industries Qatar (IQCD.QA) advancing 1.1% despite reporting a fall in first-half earnings.
The Qatari bourse rebounded to a certain extent after some price corrections, Negm said, adding it, however, could remain exposed to new losses over the short term.
Outside the Gulf, Egypt's blue-chip index (.EGX30) edged 0.1% higher.
Egypt's headline inflation is forecast to climb yet further in July after having hit a record high in June, a Reuters poll showed on Tuesday, as food prices continued to soar.
No comments:
Post a Comment