Tuesday, 10 September 2024

Most Gulf markets gain, key US inflation data in focus | Reuters

Most Gulf markets gain, key US inflation data in focus | Reuters


Major stock markets in the Gulf ended higher on Tuesday ahead of key U.S. inflation data that could affect the size of a potential interest rate cut from the Federal Reserve next week.

Investors remained focused on the U.S. consumer price index report due on Wednesday, which will likely provide clarity on whether the Fed will deliver an outsized 50-basis-point cut when it meets on Sept. 17-18.

Market pricing points to about 110 bps of cuts expected from the U.S. central bank this year. FEDWATCH

Monetary policy in the six-member Gulf Cooperation Council, including the UAE, is usually guided by the Fed's policy decisions because most currencies in the region are pegged to the dollar.

Saudi Arabia's benchmark index (.TASI), opens new tab rose 0.2%, helped by a 0.3% increase in Al Rajhi Bank (1120.SE), opens new tab and a 0.7% gain in the country's biggest lender Saudi National Bank (1180.SE), opens new tab.

Dubai's main share index (.DFMGI), opens new tab advanced 0.7%, with top lender Emirates NBD (ENBD.DU), opens new tab rising 2.3%.

In Abu Dhabi, the index (.FTFADGI), opens new tab added 0.5%.

The UAE economy grew 3.4% in the first quarter of 2024 compared with the same period of the previous year, according to preliminary government estimates reported by the state news agency WAM on Monday.

The Qatari benchmark (.QSI), opens new tab finished 0.5% higher, with the Gulf's biggest lender Qatar National Bank (QNBK.QA), opens new tab rising 1%.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab fell 0.9%, weighed down by a 4.5% slide in Ezz Steel (ESRS.CA), opens new tab.

Egypt's annual urban consumer price inflation rate unexpectedly accelerated to 26.2% in August from 25.7% in July, data from statistics agency CAPMAS showed on Tuesday.

No comments:

Post a Comment