Sunday, Mar 04, 2012


 
Saudi SE              7336.21               +0.89% 
Dubai FM              1702.01               -1.64% 
Abu Dhabi SM          2623.87               +0.49% 
Kuwait SE             6133.60               +0.11% 
Doha SM               8741.64               -0.06% 
Muscat SM             5841.80               +0.07% 
Bahrain SE            1147.99               -0.06% 
Cairo SE              5369.97               +0.38% 
Amman                 1959.99               +0.01% 
 
ICE Brent $/bbl        123.65               -0.53% 
Gold $/troy oz        1709.80               -0.65% 
Euro-USD                 1.32                0.00% 
DJIA                 12977.57               -0.02%

By Nikhil Lohade

Of ZAWYA DOW JONES

DUBAI (Zawya Dow Jones)--Stock markets in the Persian Gulf are seen mixed Sunday as investors adopt caution ahead of the international week, but risk sentiment will continue to be supported by regional economic optimism.

Several local markets have rallied sharply this year as investors take a more positive view on the region's oil-rich economies. First quarter earnings will now be key to justify further gains, one Dubai-based analyst said.

U.S. stocks finished slightly lower Friday, with the Dow Jones Industrial Average seeing its first weekly loss in three weeks, as the market drifted without major economic data releases or corporate news to provide direction.

The spotlight this week is back on Greece as investors must indicate whether they'll accept a steep write-down in their debt holdings, while euro-zone governments will decide on fresh aid to the country to prevent it from defaulting later this month.

The ministers are expected to hold a conference call Friday about approving disbursement of the EUR130 billion bailout, holding off funds until the debt exchange offer to private-sector creditors has been successfully concluded.

European Union leaders meanwhile signed a new fiscal pact late last week adopting strict austerity measures, raising concerns at a time of deteriorating economic conditions.

Buoyant oil prices will continue to provide support to regional sentiment.

Nymex April crude futures remain firmly above the $100 mark despite a 2% fall Friday to end at $106.70 a barrel. Oil prices retreated as fears of a supply disruption in Saudi Arabia eased and broader markets pulled back.

U.A.E.: Dubai shares finished -1.6% at 1702.01 Thursday; the market is still up some 31% since hitting a multi-year low in mid-January.

Dubai stock prices have soared since the beginning of the year on the back of fading concerns that government-related entities will struggle to refinance their maturing debt this year and growing hopes that the economy is recovering, according to London-based Capital Economics.

"However, we think that tight lending conditions and growing risks of an escalation in Iran are likely to moderate the pace of Dubai's recovery," it said in a note.

Abu Dhabi's market closed +0.5% at 2623.87 Thursday; supported by bank stocks.

SAUDI ARABIA: The Tadawul market ended +0.9% at 7336.21 Saturday, led by bank stocks.

Volumes remain high as speculative retail cash continues to shift from the kingdom's real estate sector to equity, some traders say. Buoyant oil prices further support the economic outlook for the country.

Daily average turnover in 2012 is about $2.27 billion, compared with $1.17 billion last year, according to Zawya.com.

The benchmark index broke above the 7,000 level late last month for the first time since October 2008, and has added more than 13% this year so far.

KUWAIT: The market closed +0.1% at 6133.60 Thursday; investment sector stocks were among the top risers.

QATAR: Qatar Exchange will be closed Sunday for a public holiday and trading will resume March 5.

In Qatar, the first Sunday of March every year is a holiday to banks and financial institutions regulated by the Qatar Central Bank, the Qatar Financial Markets Authority and the Qatar Exchange, the bourse said.

BAHRAIN: The main gauge of stocks finished down 0.1% at 1147.99 Thursday; dragged by the banking sector.

Gulf Finance House on Thursday reported a narrower year-on-year net loss in the fourth quarter of last year of $3.76 million. The loss compared to a $186.6 million net loss in the fourth quarter of 2010.

OMAN: Muscat's market ended up 0.1% at 5841.80 Thursday; helped by financial stocks.

EGYPT: The benchmark EGX 30 Index closed +0.4% at 5369.97 Thursday; the market is up 48% this year, after losing 49% in 2011.

Shareholders of Orascom Telecom Media and Technology, or OTMT, voted late Thursday in favor of the sale of most of the firm's stake in the jointly owned Egyptian mobile operator Mobinil to France Telecom--a deal worth about EGP6 billion.

Mobile telephone subscribers in Egypt grew 18% year-on-year to 83 million in 2011, the Egyptian Ministry of Communications and Information Technology, or MCIT, said on its website Thursday.

NEWS FROM AROUND THE GULF: Emirates Airline will take a $1.6 billion hit from higher fuel costs in its latest financial year after absorbing all the increase. Tim Clark, president of the world's largest international carrier, said Friday it had recently pushed through some "hefty" fuel charges to mitigate the impact.

Drydocks World, Dubai's shipyard arm, Thursday said it will present its lenders with a proposal to restructure its $2.2 billion debt, and aims to finalize the restructuring package by July.

Dubai Electricity and Water Authority, or Dewa, expects an average growth of 4% in energy and water consumption for 2012, Saeed Al Tayer, the utility's CEO said Thursday.

-By Nikhil Lohade, Dow Jones Newswires, +9714 446 1694, nikhil.lohade@dowjones.com

Copyright (c) 2012 Dow Jones & Co.

(END) Dow Jones Newswires

04-03-12 0416GMT