Nov 30 (Reuters) – Most major Gulf stocks closed higher on Wednesday, following global peers and oil prices higher on optimism about recovering demand in China, while the Market attention also turned to the speech by US Federal Reserve chief Jerome Powell, scheduled for later in the day.
Most of the Gulf Cooperation Council countries, including Saudi Arabia, the United Arab Emirates and Qatar, have their currencies pegged to the US dollar and are closely monitoring Fed policy measures, exposing the region to an impact direct from monetary tightening in the world’s largest economy.
Powell’s speech will be watched closely for signs of a slowing in the pace of central bank interest rate hikes as well as to assess the overall health of the US economy.
Saudi Arabia’s benchmark index (.TASI) rose 1.5%, led by a 5.1% jump in luxury property developer Retal Urban Development Co (4332.SE) and a 3 .5% of Alinma Bank (1150.SE).
Among other stocks, ACWA Power (2082.SE) gained 4.3% after the private utility announced it had signed deals to develop the largest solar power plant in the Middle East. Read more
The Qatari index (.QSI) gained 1.1%, boosted by a 4.2% jump from the Qatar Islamic Bank (QISB.QA).
The Qatari stock market extended its rebound after a long period of slump due to the upward trend in natural gas prices despite volatility, said Abdelhadi Laabi, chief marketing officer of Emporium Capital.
“The market also benefits from the gas partnerships signed by the government.”
Germany is set to receive new flows of Qatari liquefied natural gas (LNG) from 2026 after QatarEnergy and ConocoPhillips (COP.N) signed two sales and purchase agreements for its export on Tuesday, spanning at least 15 years .
In Abu Dhabi, the index (.FTFADGI) rose 1.5% and posted three losing sessions, supported by a 1.7% rise in the country’s largest lender, First Abu Dhabi Bank (FAB.AD ).
Dubai’s main stock index ended up 2.7%.
Meanwhile, school operator Taaleem Holdings (TAALEEM.DU), which plunged 15% on its debut, rebounded to close up 5.1%.
Outside the Gulf, Egypt’s blue chip index (.EGX30) closed 0.6% higher, extending gains from the previous session, with E-Finance For Digital And Financial Investments (EFIH.CA) rising 4.1% while EFG Hermes Holdings (HRHO.CA) jumped 5.8%.
Egyptian stock markets continued to record strong trading volumes as local investors maintained their buying trend. Foreign investors, however, were selling, Laabi said.
Reporting by Shamsuddin Mohd in Bengaluru; Editing by Sherry Jacob-Phillips
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