Mideast Stocks: Most major Gulf stocks gain; blue-chip selloff dents Egypt

Dubai plans comeback to debt markets amid economic downturn

An investor looks at stock exchange information at the Dubai Financial Market December 1,2009.

An investor looks at stock exchange information at the Dubai Financial Market December 1,2009.

REUTERS/Mosab Omar

Most major Gulf shares ended higher on Tuesday, supported by gains in the banking sector, while Egyptian stocks fell sharply due to a broad selloff in blue-chip shares.

Dubai's main share index added 0.3%, driven by a 0.9% gain in Emirates NBD Bank and a 1% rise in sharia-compliant lender Dubai Islamic Bank.

The emirate has hired banks to advise it on its comeback to the international debt markets as the Middle East trade and tourism hub seeks to bolster finances hit by the pandemic.

As the COVID-19 pandemic hit vital economic sectors of the emirate, Dubai this year has raised over $3.6 billion in debt through several instruments, the prospectus showed.

Saudi Arabia's benchmark index dropped 0.5%, with Al Rajhi Bank shedding 2.3% and oil giant Saudi Aramco losing 0.8%.

Shares of Emaar The Economic City, however, surged 9.9%, after the developer entered subscription agreement with Public Investment Fund (PIF), the kingdom's main sovereign wealth fund. 

The completion of the agreement is subject to several conditions including the novation of the Ministry of Finance loan to PIF.

In Abu Dhabi, the index added 0.1%, helped by a 1% gain in Aldar Properties.

The Qatari index also closed up 0.1%. Petrochemical maker Industries Qatar rose 1%, while Barwa Real Estate Company advanced 3.3%.

Outside the Gulf, Egypt's blue-chip index declined 1.2%, with 25 of the 30 stocks in the index falling.

Market heavyweight Commercial International Bank lost 0.8% and tobacco monopoly Eastern Company EAST.CA slid 4.9%.

(Reporting by Ateeq Shariff in Bengaluru; Editing by Ramakrishnan M.) ((AteeqUr.Shariff@thomsonreuters.com; +918061822788;))

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