Earnings lift Abu Dhabi index to 3-month high

Abu Dhabi outperformed other Gulf stock markets on Monday, buoyed by strong corporate earnings, while Egypt’s bourse retreated as investors locked in recent gains.

The Abu Dhabi index rose 1.9 per cent to reach its highest level since May, lifted by a 5.3 per cent jump in conglomerate International Holding ahead of second-quarter earnings.

Among other gainers, Abu Dhabi National Oil Co For Distribution gained 1.9 per cent after reporting quarterly profit of Dh891.2 million ($243 million), up from Dh521.4 million a year ago.

Dubai’s main share index closed one per cent higher, with Shariah-compliant lender Dubai Islamic Bank rising 1.7 per cent and Dubai Investments up 5.6 per cent.

High oil prices and increased production have been a boon for the UAE economy this year, along with a continued recovery from the Covid-19 pandemic.

UAE finance ministry data on Monday showed the government’s net operating surplus more than doubled in the first quarter as oil prices boosted public revenue.

Saudi Arabia’s benchmark index was up 0.7 per cent, led by a 2.5 per cent rise in Banque Saudi Fransi.

The Qatari benchmark climbed 1.4 per cent, with most stocks on the index in positive territory, including petrochemical maker Industries Qatar, which added 1.2 per cent.

On Sunday, Industries Qatar reported net profit of QR5.4 billion ($1.47 billion) for the first-half of 2022, a 57 per cent gain over the first half of 2021.

Outside the Gulf, Egypt’s blue-chip index fell 0.8 per cent, snapping four sessions of gains.

Traders said they had sought to secure gains after last week’s strong performance. — Reuters