Mideast Stocks: Major Gulf markets muted as Mideast conflict rages

Mideast Stocks: Major Gulf markets muted as Mideast conflict rages

Major stock markets in the Gulf were subdued on Thursday, led by the Saudi index, amid rising geopolitical tensions in the region, while negotiations on a ceasefire plan for the Gaza were set to continue in Cairo.

Israeli forces massed tanks and opened fire close to built-up areas of Rafah, residents said, after U.S. President Joe Biden vowed to withhold weapons from Israel if its forces launch a major invasion of the southern Gaza city.

Saudi Arabia's benchmark stock index dropped 1.4%, with all of its constituents posting losses, led by utilities, consumer staples and materials stocks. ACWA Power declined 7.4% and Saudi Arabian Mining slipped 2.7%. Retal Urban Development Co, however, surged 5.3%, the sharpest intraday rise since mid-December 2022 after the developer posted a 50% increase in its first-quarter net profit.

In Abu Dhabi, the benchmark index retreated 0.6%, after two straight sessions of gains, with First Abu Dhabi Bank , the UAE's largest lender, dropping 1% and the conglomerate International Holding Company shedding 0.7%. Among other losers, Abu Dhabi National Oil Company for Distribution slipped 2% after it reported an 18.8% decline in first quarter net profit sequentially. However, its quarterly profit inched up 2.3% year on year.

Dubai's benchmark index fell 0.3%, pressured by losses in industry, utilities, real estate and finance sectors. The blue-chip developer Emaar Properties slipped 1.1% and Emirates NBD, the emirate's largest lender, dropped 1.5%. However, shares of Spinneys 1961 Holding closed at 1.60 dirham per share, up 4.6% from its IPO price of 1.53 dirham a piece in its market debut.

The Qatari benchmark index rose 0.1%, helped by a 3% gain in Qatar Navigation and a 4.5% rise in Qatar Gas Transport Nakilat. Nakilat, the world's largest LNG fleet operator and state-owned energy giant QatarEnergy signed a long-term agreement on Wednesday to charter and operate nine QC-Max LNG vessels.

Outside the Gulf, Egypt's blue-chip index was up 0.1%, aided by gains in materials, consumer staples, healthcare and finance sectors. Abu Qir Fertilizers rose 3.1% and Eastern Company added 1.9%.