BENGALURU: Most stock markets in the Gulf tracked global equities higher in early trade on Thursday, after benign U.S. inflation data raised hopes of a Federal Reserve rate cut, while earnings reports in the region were mixed.
Traders overwhelming expect the Fed to cut rates in September after data this week showed U.S. inflation increased at a moderate pace in July.
Monetary policy shifts in the U.S. have a significant impact on Gulf markets, where most currencies are pegged to the dollar.
The Qatari benchmark index rose 0.8%, with almost all constituents advancing. Qatar National Bank, the region’s largest lender, gained 1.7% and Qatar Islamic Bank climbed 1.2%.
Dubai’s benchmark stock index was up 0.4%, supported by gains in real estate, industry, finance, and utilities sectors. Blue-chip developer Emaar Properties rose 1% and toll operator Salik advanced 3.8%. Salik posted a 49.6% increase in second-quarter net profit on Wednesday, beating estimates.
Air Arabia slipped 0.8% as the low-cost carrier posted a 10% drop in second-quarter net profit attributable.
Saudi Arabia’s benchmark stock index inched up 0.1%, aided by gains in consumer staples, finance, and real estate.
Gulf bourses mixed on weaker corporate earnings, Fed rate cut hopes
Saudi Industrial investment climbed 4.4% and Saudi National Bank, the kingdom’s largest lender by assets, added 0.9%. Saudi Printing And Packaging surged 8.4% after it said it has signed a financing agreement with Saudi Research and Media Group.
The Abu Dhabi benchmark index traded in a narrow range as gains in technology, real estate and industry stocks offset losses in consumer staples, energy and communication shares.
RAK Properties was up 1.3% after the real estate developer reported a 95% jump in second-quarter net profit. Investcorp Capital slid 1.3% after reporting a 22% drop in full-year net profit on Wednesday.
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