Major Gulf markets mixed ahead of Fed chair's testimony | Reuters

Major Gulf markets mixed ahead of Fed chair's testimony | Reuters

Major stock markets in the Gulf were mixed in early trade on Tuesday, as investors awaited Federal Reserve Chair Jerome Powell's testimony for clues on interest rate cuts.

Powell is set to appear before Congress on Tuesday and Wednesday, with investors wagering an 80% chance of a rate cut in September following soft labour market data.

Focus will also be on the U.S. consumer price report for June on Thursday, where headline inflation is expected to slow to 3.1% from 3.3% in May, and core inflation is seen steady at 3.4%.

Monetary policy in the six-member Gulf Cooperation Council (GCC) is usually guided by the Fed's decisions as most regional currencies are pegged to the U.S. dollar.

Saudi Arabia's benchmark index (.TASI), opens new tab gained 0.2%, with aluminium products maker Al Taiseer Group (4143.SE), opens new tab rising 0.5%.

On the other hand, oil giant Saudi Aramco (2222.SE), opens new tab dropped 0.5%.

Oil prices - a catalyst for the Gulf's financial markets - fell after a hurricane that hit a key U.S. oil producing hub in Texas caused less damage than expected. O/R

Aramco returned to the debt market on Tuesday after a three-year hiatus, mandating banks for 10-, 30- and 40-year senior unsecured tranche debt sales, a document from one of the lenders showed.

Dubai's main share index (.DFMGI), opens new tab added 1.5%, with blue-chip developer Emaar Properties (EMAR.DU), opens new tab rising 1.5%.

The number of homes worth $10 million or more sold in Dubai held steady in the first half of the year despite a drop in listings, an industry report showed on Monday, as demand from the international ultra-rich stayed strong.

Meanwhile, Qatar's benchmark index (.QSI), opens new tab eased 0.1%, hit by a 1.2% fall in Qatar International Islamic Bank (QIIB.QA), opens new tab.

However, Qatar National Bank (QNBK.QA), opens new tab, the Gulf's biggest lender, edged 0.1%, a day after reporting a rise in second-quarter profit.

In Abu Dhabi, the index (.FTFADGI), opens new tab was down 0.1%.