Most stock markets in the Gulf ended lower on Monday as investors awaited a crucial U.S. inflation reading and comments from Federal Reserve officials this week.

Dubai's benchmark stock index retreated after the previous session's gains, slipping 0.3%. Business park operator Tecom Group dropped 2.2%, and Dubai Islamic Bank slid 1.7%. Spinneys 1961 Holding climbed 3.6% after the grocery retailer opened a store in Saudi Arabia and expected to open 12 more by 2028.

Saudi Arabia's benchmark stock index was down 0.3% after the previous session's gains, with most sectors in the red. ACWA Power declined 3.6% and Dr Sulaiman Al Habib Medical Services slipped 3.1%.

The Abu Dhabi benchmark index was up 0.1%, with Multiply Group rising 4.1% and First Abu Dhabi Bank, the UAE's largest lender, climbing 1.4%. Among other gainers, ADNOC Distribution and ADNOC Logistics added 0.6% and 1.2%, respectively. Their owner, energy giant Abu Dhabi National Oil Co (ADNOC), and German chemicals firm Covestro have entered into concrete negotiations on a potential takeover deal worth 11.7 billion euros.

The Qatari benchmark index was up 0.6%, extending its gains for a fifteenth session, the longest rally in a year. Qatar National Bank, the region's largest lender, added 0.8% and Qatari telecoms group Ooredo advanced 1.4%. Nvidia has signed a deal to deploy its artificial intelligence technology at data centres owned by Ooredoo in five Middle Eastern countries. In the U.S., the personal consumption expenditures (PCE) price index was due on Friday.

A low result would likely reinforce market bets on a Fed rate cut as early as September, which futures currently price as a 65% prospect. Most Gulf currencies are pegged to the dollar, and any U.S. monetary policy change is usually followed by Saudi Arabia, the United Arab Emirates and Qatar.

Outside the Gulf, Egypt's blue-chip index snapped a five-session winning streak to fall 0.6%, with most sectors posting losses. Telecom Egypt slid 6.6% and El Sewedy Electric dropped 1.2%. GB Corp and Misr Fertilizers Production climbed 6.5% and 3.4%, respectively. The World Bank announced on Monday $700 million of budget support for Egypt, part of a 3-year, $6 billion programme that the bank pledged earlier this year.

  • SAUDI ARABIA fell 0.3% to 11,697
  • KUWAIT lost 0.1% to 7,620
  • QATAR added 0.6% to 9,772
  • EGYPT was down 0.6% to 26,902
  • BAHRAIN lost 0.1% to 2,038
  • OMAN dropped 0.8% to 4,622
  • ABU DHABI gained 0.1% to 9,022
  • DUBAI fell 0.3% to 4,000

(Reporting by Md Manzer Hussain; Editing by Jan Harvey)