Mideast Stocks: Most Gulf markets gain on earnings, despite US tariff worries

PHOTO

Most stock markets in the Gulf ended higher on Monday as investor turned their focus to corporate earnings, brushing aside U.S. President Donald Trump's warning that more tariffs were imminent, including on steel and aluminium.

Trump announced plans to impose 25% tariffs on all steel and aluminium imports to the U.S., effective immediately, with additional reciprocal tariffs to be made public on Tuesday or Wednesday. Raising the prospect of a full-scale trade war, German Chancellor Olaf Scholz said the European Union was prepared to retaliate "within an hour" if the U.S. imposed tariffs on European goods.

Dubai's main share index concluded 0.4% higher, with blue-chip developer Emaar Properties rising 1.1% higher. Dubai Electricity and Water Authority - whose shares were suspended pending earning announcement - posted a standalone net profit of 8.01 billion dirhams ($2.18 billion) for 2024, up from 7.82 billion dirhams a year earlier. In Abu Dhabi, the index gained 0.5%, led by a 6.8% jump in Aldar Properties after reporting a sharp rise in fourth-quarter profit.

Oil prices - a catalyst for the Gulf's financial markets - rebounded despite lingering fears over a potential global trade war after U.S. President Donald Trump's latest tariff plans, this time targeting steel and aluminium.

The Qatari index concluded 0.4% higher, with Qatar Islamic Bank rising 1%, and telecoms firm Ooredoo increasing 1.1% ahead of its earnings announcement.

Saudi Arabia's benchmark index closed flat, with Al Yamamah Steel Industries Company plunging 6.3%. Saudi stocks were volatile today after yesterday's gains with investors awaiting corporate earnings, expecting a boost from solid economic fundamentals, said Hassan Fawaz Chairman & Founder of GivTrade.

"However, Trump's tariff announcements may weigh on regional investor sentiment."

Outside the Gulf, Egypt's blue-chip index fell 0.4%, with Talaat Moustafa Group retreating 1.3%. Elsewhere, Egypt Aluminum Company tumbled about 5%, the top loser on the index.