Mixed Performance in Gulf Markets Amidst Oil Price Fluctuations and Fed Anticipation

In the Gulf region, stock markets portrayed a varied picture on Tuesday as oil prices wavered and investors awaited the U.S. Federal Reserve’s stance on interest rates following its policy meeting this week.

Saudi Arabia: Despite registering losses for the second consecutive month, Saudi Arabia’s benchmark index closed 0.2% higher, marking its second straight session of gains. Notable movers included Acwa Power and Middle East Pharmaceutical, while Saudi Arabian Mining (Ma’aden) experienced a downturn. Ma’aden announced plans to acquire Mosaic’s stake in a phosphate production venture, valued at around $1.5 billion.

Abu Dhabi: The benchmark index in Abu Dhabi edged up by 0.1%, extending its winning streak to three sessions. However, it recorded a monthly decline of 1.7%, its fourth straight month in the red. Abu Dhabi Islamic Bank and First Abu Dhabi Bank faced declines, while Aldar Properties and Abu Dhabi Commercial Bank saw gains.

Qatar: The Qatari benchmark index witnessed a 0.2% decline, ending its two-day winning streak, with Qatar International Islamic Bank and Barwa Real Estate contributing to the downturn.

Dubai: Dubai’s benchmark index experienced a slight retreat of 0.1%, influenced by losses in various sectors, including consumer discretionary and utilities. Mashreqbank and Commercial Bank of Dubai were among the companies that saw declines.

Investors are now eagerly anticipating the conclusion of the Federal Reserve’s two-day meeting on Wednesday, with expectations that interest rates will remain unchanged. Given the pegging of most Gulf currencies to the dollar, any shifts in U.S. monetary policy are closely watched by Saudi Arabia, the United Arab Emirates, and Qatar.

Beyond the Gulf: Egypt’s blue-chip index plunged by 6% to its lowest level in four months, with Talaat Mostafa and Commercial International Bank among the companies experiencing losses.