Mideast Stocks: Saudi index at 14-year high, other gulf indexes mixed

Performances across other major Gulf bourses were mixed

  
Investors monitor a screen displaying stock information at the Saudi Stock Exchange (Tadawul) following the debut of Saudi Aramco's initial public offering (IPO) on the Riyadh's stock market, in Riyadh, Saudi Arabia, December 11, 2019.

Investors monitor a screen displaying stock information at the Saudi Stock Exchange (Tadawul) following the debut of Saudi Aramco's initial public offering (IPO) on the Riyadh's stock market, in Riyadh, Saudi Arabia, December 11, 2019.

REUTERS/Ahmed Yosri

Saudi Arabia's stock market edged up to its highest in nearly 14 years on Wednesday as oil prices rose, while performances across other major Gulf bourses were mixed.

Oil hit a multi-year high above $83 a barrel, supported by an OPEC+ refusal to ramp up production more rapidly against a backdrop of concern about tight energy supply globally. 

Saudi Arabia's benchmark index was 0.1% higher, with Al Rajhi Bank  rising 0.8% and Saudi Telecom Company up 2.4%.

Elsewhere, oil giant Saudi Aramco gained 0.7%.

Aramco will complete its 1 million barrel per day (bpd) oil output expansion project by 2027 to bring its total production to 13 million bpd, its CEO said on Monday.

Aramco also aims to expand its oil trading business to 8 million bpd over the next five years from its current 5.5 million bpd, he added.

Saudi Arabia's non-oil private sector grew in September, with new orders rising at the fastest rate in seven years, a business survey showed, as a relaxation of COVID-19 restrictions on activity and travel boosted customer demand.

The Qatari index advanced 0.7%, with Qatar National Bank rising 1.6%.

In Abu Dhabi, the index fell 0.4%, weighed down by a 1.3% fall in the country's largest lender First Abu Dhabi Bank and a 0.4% drop in Emirates Telecommunications Group.

Dubai's main share index declined 1.2%, extending losses for a third consecutive session, dragged down by a 3.7% slide in Emirates NBD Bank.

The Dubai market remains under pressure as investors try to secure their gains and weigh the impact of the global economic slowdown on the local market, said Wael Makarem, senior market strategist at Exness.

"Concerns remain around the global economic slowdown and inflation levels, which are becoming more durable and are further fueled by energy prices. Resilient inflation could push central banks to amend their monetary policy ahead of schedule."

Outside the Gulf, Egypt's blue-chip index finished 0.9% higher, led by a 2.4% rise in Commercial International Bank .

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


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