Gulf markets muted as investors brace for US data; Egypt extends gain | Reuters

Gulf markets muted as investors brace for US data; Egypt extends gain | Reuters

Most Gulf stock markets were subdued on Monday as investors turned cautious ahead of key U.S. economic data that could shape the interest rate outlook.

The upcoming employment, inflation and other indicators are especially critical after a 43-day U.S. federal government shutdown delayed key reports, leaving investors and the Federal Reserve with little certainty.

The Fed last week cut rates by 25 basis points for a third straight meeting but signalled further reductions are unlikely in the near term as it waits for clearer data.

U.S. monetary policy shifts have a significant impact on Gulf markets, where most currencies are pegged to the dollar.

The Qatari benchmark index (.QSI), opens new tab fell 0.9%, with all constituents in negative territory. Qatar Islamic Bank (QISB.QA), opens new tab slipped 2.4% and Qatar Electricity and Water Co (QEWC.QA), opens new tab dropped 1.8%.

Dubai's benchmark stock index (.DFMGI), opens new tab edged 0.1% lower, weighed down by a 9.7% slide in Gulf Navigation (GNAV.DU), opens new tab and a 0.7% decline in Emirates NBD (ENBD.DU), opens new tab, the emirate's largest lender. Ajman Bank (AJBNK.DU), opens new tab gained 3.1% after the Ajman government said on Friday it had raised its stake in the bank to 33.1% from 31.1%.

Saudi Arabia's benchmark stock index (.TASI), opens new tab ended flat, with Saudi Basic Industries Corp (2010.SE), opens new tab down 1.3% and Riyad Bank (1010.SE), opens new tab off 1.1%. Fawaz Abdulaziz Al Hokair & Co (4240.SE), opens new tab rose 1.6% after the retailer signed a 1.58 billion riyal ($421 million) facilities agreement on Sunday.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab was little changed as gains in technology, real estate, healthcare and energy offset losses elsewhere.

Abu Dhabi Commercial Bank (ADCB.AD), opens new tab added 1.1%, while Invictus Investment jumped 10.2%, its biggest intraday gain in more than three years, after the diversified trading company said on Friday that International Holding Company (IHC.AD), opens new tab had increased its stake to about 40% in a block trade valued at around 420 million dirhams ($114.36 million).

Abu Dhabi Ship Building (ADSB.AD), opens new tab declined 1.3% after the shipbuilder's board approved a $1.89 billion deal with EDGE Acquisitions Company to build eight vessels for the Kuwaiti government.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab rose 0.6% for a second straight session, supported by a 1.4% gain in Commercial International Bank (COMI.CA), opens new tab and a 2.8% rise in Palm Hills Developments (PHDC.CA), opens new tab which on Sunday signed an agreement with Marriott International to develop a new luxury hotel in Cairo.