Thursday 31 October 2024

Most Gulf markets gain on Israel-Hezbollah ceasefire hopes | Reuters

Most Gulf markets gain on Israel-Hezbollah ceasefire hopes | Reuters


Most stock markets in the Gulf ended higher on Thursday, helped by hopes for a potential ceasefire deal between Israel and Hezbollah.

Lebanon's prime minister expressed hope on Wednesday that a ceasefire deal with Israel would be announced within days as Israel's public broadcaster published what it said was a draft agreement providing for an initial 60-day truce.

The push for a ceasefire for Lebanon is taking place alongside a similar diplomatic drive to end hostilities in Gaza.

In Qatar, the index (.QSI), opens new tab gained 0.6%, led by a 0.8% rise in the Gulf's biggest lender Qatar National Bank (QNBK.QA), opens new tab and a 3.3% jump in Qatar Navigation (QNNC.QA), opens new tab.

The Abu Dhabi index (.FTFADGI), opens new tab closed 0.4% higher, with conglomerate International Holding (IHC.AD), opens new tab gaining 0.7%.

Saudi Arabia's benchmark index (.TASI), opens new tab gave up early gains to conclude higher.

Oil prices — a catalyst for the Gulf's financial markets — stabilised after rallying the previous day on stronger-than-expected U.S. fuel demand and reports that producer group OPEC+ could delay a planned output increase.

Manufacturing activity in China, the world's biggest oil importer, expanded for the first time in six months in October, suggesting stimulus measures are having an effect.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab added 0.9%, as most of its constituents gained, including Ezz Steel Co (ESRS.CA), opens new tab, which was up 3.6%.

The International Monetary Fund's $8 billion programme for Egypt is making progress, with the fund's top regional official stating that any discussions to further increase the overall programme size are premature.

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