Most stock markets in the Gulf closed higher ​on Monday as ⁠investors turned their focus to corporate earnings while also assessing ‌U.S.-Iran developments.

Saudi Arabia's benchmark index rose 0.1%, with Al Rajhi Bank gaining 0.2% and ​oil major Saudi Aramco ticking up 0.2%. GCC stock markets closed mostly higher on ​Monday, driven ​by improved regional sentiment.

Caution persisted over U.S.-Iran negotiations, but positive progress could spur further market gains, said Joseph Dahrieh, managing director at ⁠Tickmill. Declining oil prices — amid rising regional output and an anticipated surplus — remain a risk for the energy sector, although the gradual normalization of shipping traffic through the Strait of Hormuz is expected to support broader ​economic recovery.

Dubai's main ‌share index gained ⁠0.5%, helped ⁠by a 1.2% rise in top lender Emirates NBD.

In Abu Dhabi, the index ​added 0.2%. Oil prices fell on Monday after OPEC+ ‌agreed to further increase its output targets ⁠from August while exports from key producers via the Strait of Hormuz are recovering, potentially adding to global supplies.

The Qatari index finished 0.2% higher, with Qatar Islamic Bank rising 0.8%. Maritime trade between Iran and Qatar has resumed following an approximately five-month suspension, Iran's commercial attache in Doha said on Sunday, according to state media.

Outside the Gulf, Egypt's blue-chip index advanced 2.7%, led by a 3.7% rise in Commercial ‌International Bank.

A Reuters poll expects Egypt's central bank ⁠to hold interest rates steady for a third ​consecutive meeting on Thursday, aided by easing regional tensions.

  • Saudi Arabia rose 0.1% to 10,813
  • Abu Dhabi added 0.2% to 9,922
  • Dubai gained 0.5% to 6,091
  • Qatar was up 0.2% to 10,267
  • Egypt advanced ​2.7% to ‌52,503
  • Bahrain was flat at 2,024
  • Oman increased 0.2% to 7,582
  • Kuwait added 0.8% ⁠to 9,173

(Reporting by Ateeq ​Shariff in Bengaluru; Editing by Janane Venkatraman and Joyjeet Das)