Gulf stock markets closed mixed on Thursday, ‍as investor sentiment ‍was weighed down by uncertainty surrounding the evolving regional geopolitical ​situation and profit-taking.

The United States is pulling some personnel out of military bases ⁠in the Middle East, a U.S. official said Wednesday. That came after a senior ⁠Iranian official ‌said Tehran had warned neighboring countries it would target U.S. bases if Washington launches strikes.

Saudi Arabia's benchmark index dropped 1.2%, ⁠snapping a six-day winning streak, with Al Rajhi Bank losing 1.6%. However, broadened foreign participation rules triggered the recent rebound, additional market reforms could translate into increased foreign inflows, while new state-owned firms' IPOs could draw new ⁠investments, said George Pavel, general ​manager at Naga.com Middle East.

Among other losers, oil behemoth Saudi Aramco eased 0.7%.

Oil prices, a ‍catalyst for the Gulf's financial markets, tumbled more than 3% after U.S. President Donald Trump ​said killings of demonstrators during protests in Iran were ending, easing concerns over military action against Iran and potential oil supply disruptions.

The Qatari index declined 1.3%, hit by a 2% fall in Qatar Islamic Bank.

Dubai's main share index finished flat, while the Abu Dhabi index was up 0.2%. According to Pavel, the earnings season has the potential to reinforce the positive fundamental narrative, but its impact is constrained to a certain extent by the trajectory of ⁠oil prices and the regional geopolitical risk.

Outside the ‌Gulf, Egypt's blue-chip index gained 0.7%, with Commercial International Bank advancing 3.4%.

  • Saudi Arabia dropped 1.2% to 10,818
  • Abu Dhabi added 0.2% to 10,057
  • Dubai was flat at 6,262
  • Qatar declined 1.3% to ‌11,068
  • Egypt gained 0.7% ⁠to 43,347
  • Bahrain closed flat at 2,045
  • Oman rose 0.7% to 6,224
  • Kuwait lost 0.7% to 9,352

(Reporting by Ateeq Shariff ⁠in Bengaluru; Editing by Sharon Singleton and Shilpi Majumdar)