Most stock markets in the Gulf closed higher on Tuesday helped by climbing oil prices, while investors assessed the possible impact on the dollar and interest rates after the U.S. administration threatened Federal Reserve Chair Jerome Powell with a criminal indictment.
Oil prices - a catalyst for the Gulf's financial markets - extended gains as heightened concerns surrounding major producer Iran and potential supply disruptions overshadowed the prospect of increased crude supply from Venezuela.
Saudi Arabia's benchmark index (.TASI), opens new tab advanced 1.4%, with Al Rajhi Bank (1120.SE), opens new tab rising 1.9% and Saudi Arabian Mining Company (1211.SE), opens new tab jumping 4.9%.
Elsewhere, oil giant Saudi Aramco (2222.SE), opens new tab climbed 2.7%.
Dubai's main share index (.DFMGI), opens new tab gained 0.8%, with top lender Emirates NBD (ENBD.DU), opens new tab rising 1.7% and sharia-compliant lender Dubai Islamic Bank (DISB.DU), opens new tab was up 1.2%.
In Abu Dhabi, the index (.FTFADGI), opens new tab added 0.3%.
In the U.S., the Trump administration appears to be on the offensive again against the Federal Reserve, reviving concerns about the central bank's independence and contributing to greater uncertainty over the economic outlook.
Gulf markets often track shifts in U.S. rate expectations, as most regional currencies are pegged to the dollar.
Further fuelling geopolitical worries, U.S. President Donald Trump said Monday that any country doing business with Iran will be hit with a 25% U.S. tariff, as Washington considers how to respond to Iran's crackdown on major anti-government protests.
The Qatari index (.QSI), opens new tab concluded 0.6% higher, with Qatar Islamic Bank (QISB.QA), opens new tab putting up 1.8%.
Post trading hours, the Gulf's biggest lender by assets Qatar National Bank (QNBK.QA), opens new tab, which ended 1% higher, reported an annual net profit of 17 billion riyals ($4.66 billion).
Outside the Gulf, Egypt's blue-chip index (.EXG30), opens new tab rose 0.7%, with Commercial International Bank (COMI.CA), opens new tab leaping 4.5%.
