Most Gulf markets muted on falling oil prices | Reuters

Most Gulf markets muted on falling oil prices | Reuters

Most stock markets in the Gulf were subdued in early trading on Tuesday on falling oil prices as traders worried about supply ticking up later in the year amid signs of weakening U.S. demand.

Oil prices, a catalyst for the Gulf's financial markets, declined more than 1%, with Brent trading at $77.34 a barrel by 0800 GMT.

OPEC+ on Sunday agreed to extend most of their oil output cuts into 2025 but left room for voluntary cuts from eight members to be gradually unwound from October.

Saudi Arabia's benchmark stock index (.TASI), opens new tab slipped 0.7%, dragged down by losses in most sectors. Saudi National Bank (1180.SE), opens new tab, the kingdom's largest lender, dropped 2% and ACWA Power (2082.SE), opens new tab slid 1.1%.

The private utility firm, ACWA, has signed a share purchase agreement to sell 30% of its stake in Petro-Rabigh's IWSPP power plant to Hassan Investment for 844 million riyals ($225.04 million).

Among other decliners, Saudi Aramco (2222.SE), opens new tab shed 0.9% in early trading.

Elsewhere, Sweden's Seventh AP Fund has blacklisted Aramco and six other companies from its portfolio all due to large-scale operations within oil extraction or coal production.

Dubai's benchmark stock index (.DFMGI), opens new tab was down 0.3%, pressured by losses in industry, real estate and consumer discretionary sectors with tolls operator Salik Company (SALIK.DU), opens new tab, (SALIK.DU), opens new tab dropping 2.1% and Emaar Properties (EMAR.DU), opens new tab sliding 1.2%.

Meanwhile, the blue-chip developer Emaar has announced 1.5 billion dirhams ($408.45 million) investment to expand Dubai Mall, introducing 240 new luxury retail and dining options.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab eased 0.2%, with the conglomerate International Holding Company (IHC.AD), opens new tab shedding 0.5% and Abu Dhabi Islamic Bank (ADIB.AD), opens new tab sliding 1.3%.

The Qatari benchmark index (.QSI), opens new tab edged up 0.5%, supported by a 0.2% rise in Qatar National Bank (QNBK.QA), opens new tab, the region's largest lender, and a 0.7% gain in Industries Qatar (IQCD.QA), opens new tab.