Saudi bourse gains, other major Gulf markets ease

Dubai’s main share index added 0.2 per cent, helped by a 0.8 per cent increase in blue-chip developer Emaar Properties



In Abu Dhabi, the main share index was 0.3 per cent down, hit by a 0.4 per cent fall in conglomerate International Holding Company. — File photo
In Abu Dhabi, the main share index was 0.3 per cent down, hit by a 0.4 per cent fall in conglomerate International Holding Company. — File photo

By Reuters

Published: Thu 18 Aug 2022, 6:18 PM

Last updated: Thu 18 Aug 2022, 6:38 PM

The Saudi bourse’s main index rose to its highest in over two months early on Thursday after the IMF held its 2022 economic growth forecast for the kingdom while other markets in the Gulf eased amid concerns about a potential global recession.

Saudi Arabia’s benchmark index gained 0.3 per cent, reaching its highest since June, with Al Rajhi Bank rising one per cent and Retal Urban Development Co adding 0.7 per cent.

The International Monetary Fund (IMF) on Wednesday maintained its economic growth forecast for Saudi Arabia even as concerns persist that the global economy may heading towards a recession.

Saudi Arabia’s economy was still projected to grow by 7.6 per cent this year, which the IMF said would likely be one of the fastest growth rates in the world, helped by strong oil demand and 4.2 per cent expected growth in the kingdom’s non-oil sector.

Dubai’s main share index added 0.2 per cent, helped by a 0.8 per cent increase in blue-chip developer Emaar Properties ahead of a board meeting on Thursday to discuss the sale of its e-commerce fashion business.

The operator of Dubai International Airport said on Wednesday the Middle East hub could see monthly passenger traffic return to pre-pandemic levels in the latter half of next year.

In Abu Dhabi, the main share index was 0.3 per cent down, hit by a 0.4 per cent fall in conglomerate International Holding Company.

Elsewhere Aldar Properties fell 0.6 per cent, after Apollo Global Management, a manager of alternative assets, acquired a minority stake in a subsidiary of Aldar.

Apollo and Aldar said the deal was part of a previously announced $1.4 billion investment by Apollo in Aldar in February.

Crude prices, a key catalyst for the Gulf’s financial markets, were little changed as investors grappled with falling stockpiles in the United States, rising output from Russia and worries about a potential global recession.

The Qatari benchmark index lost 0.3 per cent, with Commercial Bank retreating 2.1 per cent. — Reuters


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