Major Gulf markets edge up as oil rises

12/05/2016 04:38 AST

Most major Gulf stock markets edged up on Wednesday, buoyed by an overnight rise in oil prices and US bourses, while Egypt’s market was hit by weak corporate earnings.

Saudi Arabia’s index closed 0.1 per cent higher after rising as much as 0.5 per cent at one stage. Much activity focused on second- or third-tier stocks favoured by local speculators.

Saudi Printing and Packaging rose 1.3 per cent in the heaviest trade since it listed in July 2007. Publisher Saudi Research and Marketing surged 4.4 per cent to 47.10 riyals, breaking out of the 36-45 riyal range it had traded in since mid-February. Dubai’s stock index rose 0.5 per cent as Islamic mortgage provider Amlak added 3.5 per cent.

It reported first-quarter profit jumped to Dhs123 million ($33.5 million) from Dhs6 million and managing director Arif Alharmi predicted modest growth for the rest of the year. Gulf Navigation fell 2.8 per cent after posting a 28 per cent jump in profit to Dhs6.3 million, which had been expected.

Abu Dhabi’s index slipped 0.9 per cent. Qatar edged up 0.1 per cent as Dlala Brokerage continued its uptrend of the past month, rising 4.6 per cent. Egypt’s index dropped 1.6 per cent. Palm Hills Development fell a further 2.4 per cent, having tumbled 3.5 per cent on Tuesday after reporting a 40 per cent drop in first-quarter net profit.

GB Auto sank 2.5 per cent after saying quarterly net profit plunged 70 per cent, hit by Egypt’s hard currency shortage, which has made importing vehicles more difficult. Global stocks were softer across most of the world on Wednesday, with sentiment hit by weak oil prices and disappointing results from Disney.

Wall Street eased slightly in early business, dragged lower by a sharp drop in Walt Disney shares, down almost five per cent.

London’s benchmark FTSE 100 index meanwhile was a touch weaker, weighed down also by official data showing that British industrial output grew more weakly than expected in March.

The Gulf Today