Mideast Stocks: Dubai leads Gulf gains on Iran peace hopes; Egypt hits fresh record high

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Dubai led gains across most Gulf stock markets on Wednesday after a report said the White House believed ⁠it was nearing agreement on a memorandum to end the war with Iran, while ‌falling oil prices weighed on Saudi Arabia's index.

News outlet Axios reported that the U.S. expected Iranian responses on several key points in the next 48 hours. A Pakistani source involved in the peace efforts confirmed the report to Reuters on Wednesday.

"Markets in GCC rebounded as sentiment improved amid calmer conditions in the region and a more reassuring rhetoric from U.S. officials," said Joseph Dahrieh, managing director at Tickmill.

"In the ⁠UAE, a deal could help the country expand on its ambition to raise oil output and exports, which could help support the local stock markets over the long term," he added.

Dubai's benchmark stock index climbed 3%, supported by broad-based gains and rebounding from losses in the previous session. Blue-chip developer Emaar Properties gained ‌4.4%, while Dubai's ⁠largest lender, Emirates NBD , ⁠added 3.5%.

The Abu Dhabi benchmark index advanced 0.9%, with most constituents trading higher. Gains were led by healthcare, real estate and technology shares. Aldar Properties jumped 3%, while Alpha Dhabi climbed ‌2.5% after the conglomerate reported an 82% surge in first-quarter ⁠net profit.

Abu Dhabi National Oil Company (ADNOC) expects to make a final investment decision this year on its unconventional gas project with TotalEnergies with approval for a separate unconventional oil project expected to follow soon, its upstream chief said. ADNOC's four listed units advanced.

ADNOC Logistics rose 2.2%, ADNOC Gas gained 2.1%, ADNOC Distribution added 1.9% and ADNOC Drilling was up 1.6%.

The Qatari benchmark index climbed 1.4%, as almost all stocks traded higher. Industries Qatar gained 3.2%, while Qatar National Bank , the region's largest lender, added 1.7%.

Saudi Arabia's benchmark stock index slipped 0.4%, dragged down by energy, utilities ‌and communications stocks. Oil major Saudi Aramco dropped 2.8% and Saudi Basic ⁠Industries lost 2.1%. Meanwhile, oil prices extended declines on Wednesday, slumping to two-week lows with Brent LCOc1 down 8.3% to $100.79 a barrel by 1205 GMT.

Outside the Gulf, Egypt’s blue-chip index advanced 2% to a fresh record high of 53,605, with most stocks higher. Commercial International Bank rose 2.5%, while Fawry ‌for Banking Technology jumped 4.4%.