Most Gulf markets gain on rising oil

Most stock markets in the Gulf ended higher on Sunday in response to Friday’s rise in oil prices, while the Egyptian index ended lower.

Oil prices – a catalyst for the Gulf’s financial markets – settled more than 1% higher on Friday, buoyed by a larger-than-expected drawdown from U.S. crude inventories last week.

Optimism over Chinese economic growth has also sparked hopes of higher demand next year from the top oil importing nation.

The World Bank on Thursday raised its forecast for Chinese economic growth in 2024 and 2025.

Saudi Arabia’s benchmark index gained 0.4%, led by a 1.7% rise in the country’s biggest lender Saudi National Bank and an 1.8% increase in ACWA Power.

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Among other gainers, BAAN Holding Group advanced 2% after announcing the signing of two binding agreements for the acquisition of multiple real estate assets.

In Qatar, the index finished 0.9% higher, with the Gulf’s biggest lender Qatar National Bank rising 0.9%.

Outside the Gulf, Egypt’s blue-chip index fell 1.2%, with most of its constituents in negative territory including Commercial International Bank.

Egypt’s central bank kept its overnight interest rates unchanged on Thursday, as expected, saying that while inflation was set to decelerate sharply in early 2025, it nonetheless remained high.

SAUDI ARABIA added 0.3% to 11,893

QATAR gained 0.9% to 10,512

EGYPT lost 1.2% to 29,666

BAHRAIN was flat at 1,985

OMAN rose 1.1% to 4,516

KUWAIT eased 0.1% to 7,861