Most Gulf markets gain ahead of US economic data

Most Gulf stock markets ended higher on Tuesday as investors awaited a slate of U.S. economic data this week that will feed into Federal Reserve monetary policy.

The week is filled with data releases particularly from the United States, which will be headlined by the December non-farm payrolls report on Friday.

Minutes of the Fed’s latest meeting due on Wednesday will also offer colour on their dot-plot predictions, while there will be plenty of live comment with several top policymakers.

Fed decisions have a significant impact on the Gulf region’s monetary policy as most of its currencies are pegged to the dollar.

Saudi Arabia’s benchmark index closed 0.1% higher, helped by a 1.8% rise in Saudi Telecom Company and a 1.1% increase in the country’s biggest lender Saudi National Bank.

Elsewhere, Saudi healthcare provider Almoosa Health Co climbed 15% to 146 riyals per share on its debut against an offer price of 127 riyals.

The Saudi market continued its recovery, fuelled by banking sector growth and Almoosa’s successful initial public offering debut, said Joseph Dahrieh, Managing Principal at Tickmill. Positive sentiment and upcoming fourth-quarter earnings results may drive further gains.

Most Gulf bourses gain ahead of US economic data

Dubai’s main share index gained 0.5%, finishing at its highest in more than a decade, with sharia-compliant lender Dubai Islamic Bank climbing 3.1%.

In Abu Dhabi, the index inched 0.1% higher.

The United Arab Emirates’ non-oil private sector expanded at its fastest pace in nine months in December, driven by strong demand and increased business activity, a survey showed on Monday.

The Qatari index fell 0.3%, hit by a 0.7% fall in the Gulf’s biggest lender, Qatar National Bank.

Outside the Gulf, Egypt’s blue-chip index dropped 0.8% as most of it constituents were in negative territory including tobacco monopoly Eastern Company, which retreated 4.1%.

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 SAUDI ARABIA    rose 0.1% to 12,113

 Dubai           added 0.5% to 5,214

 Abu Dhabi       up 0.1% to 9,439

 QATAR           lost 0.3% to 10,451

 EGYPT           down 0.8% to 29,930

 BAHRAIN         eased 0.1% to 1,975

 OMAN            gained 0.5% to 4,601

 KUWAIT          rose 0.7% to 7,952

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