Mideast Socks: Most Gulf markets dip in early trade; Qatar gains

The Qatari benchmark added 0.3%, led by a 3.8% gain in Mesaieed Petrochemical Holding


Most stock markets in the Gulf fell in early trade on Tuesday, on worries over inflation and moves to tax the world's biggest companies, with investors awaiting U.S. consumer inflation data.

U.S. House Democrats are expected to propose raising the corporate tax rate to 26.5% from 21% as part of a sweeping plan that includes tax increases on the wealthy, corporations, and investors. 

World stocks have been pressured by worries around inflation, which may prove less transitory than flagged by central bankers, and signs that governments are keen to get more tax from companies and to make them toe a stricter regulatory line.

In Abu Dhabi, the index eased 0.2%, on course to extend losses for a third session, hit by a 0.2% fall in the country's largest lender First Abu Dhabi Bank.

Dubai's main share index was down 0.2%, with Emirates NBD Bank losing 0.7% and sharia-compliant lender Dubai Islamic Bank falling 0.6%.

The United Arab Emirates' central bank has issued new guidelines to financial institutions on anti-money laundering practices, it said on Monday, the latest of a number of measures launched by the Gulf state to combat illicit financial flows. 

Saudi Arabia's benchmark index lost 0.1%, with Saudi Telecom Company dropping 0.9%, while National Gas and Industrialization Co declined 1.3%, as the stock traded ex-dividend.

The Qatari benchmark added 0.3%, led by a 3.8% gain in Mesaieed Petrochemical Holding.

Oil prices hit a six-week high on concerns that another storm could affect output in Texas this week even as the U.S. industry struggles to return to normal production levels after Hurricane Ida wreaked havoc on the Gulf Coast. 

Meanwhile, the Organization of the Petroleum Exporting Countries (OPEC) on Monday trimmed its world oil demand forecast for the last quarter of 2021 due to the Delta coronavirus variant, saying a further recovery would be delayed until next year when consumption will exceed pre-pandemic rates. 

(Reporting by Ateeq Shariff in Bengaluru; editing by Uttaresh.V) ((AteeqUr.Shariff@thomsonreuters.com; +918061822788;))

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