• Oil prices rose, worries over global economic slowdown limit gains
  • Asian shares follow Chinese shares higher
  • Middle East markets ended the day mixed on Monday
  • Dollar weakens, gold steadies

Oil prices

Oil prices rose in early trading on Tuesday, but worries over a global economic slowdown limited gains.

The Organization of the Petroleum Exporting Countries (OPEC) and some non-OPEC allies, including Russia, agreed in late 2018 to cut supply to rein in a global glut, which is supporting prices.

International Brent crude oil futures were at $59.64 per barrel at 0257 GMT, up 65 cents, or 1.1 percent, from their last close.

U.S. West Texas Intermediate (WTI) crude futures were at $51.09 per barrel, up 58 cents, or 1.2 percent.

“The impact of OPEC+ (OPEC and others including Russia) cuts, Iran sanctions and lower month-on-month growth in U.S. production should help to support oil prices from current levels,” American bank J.P. Morgan said in a note, according to a Reuters report.

Global markets

Chinese shares rose in early trading on Tuesday, boosting Asian shares, as China’s state planner said it will aim to achieve “a good start” in the first quarter for the economy.

MSCI's broadest index of Asia-Pacific shares outside Japan added 0.56 percent.

State television also quoted Chinese Premier Li Keqiang as saying the government is seeking to establish conditions helpful to meeting this year’s economic goals, a Reuters report said.

That came after China’s December exports fell by 4.4 percent from a year earlier, the biggest monthly drop in two years, official data showed on Monday. Imports also dropped, falling 7.6 percent, the biggest decline since July 2016.

Middle East markets

Saudi Arabia's index edged 0.3 percent lower on Monday, with top petrochemical producer Saudi Basic Industries dropping 1.1 percent and Saudi British Bank losing 1.2 percent, but Riyad Bank added 0.7 percent; the company has picked Goldman Sachs to advise on its merger talks with National Commercial Bank (NCB), Reuters reported.

Dubai’s index dropped 0.4 percent as Emaar Properties fell 2 percent, while Damac Properties lost 4 percent.

The Abu Dhabi index gained for a fourth straight day, rising 0.6 percent. United Arab Emirates' largest lender First Abu Dhabi Bank increased 1.7 percent.

Qatar's index edged up 0.2 percent as Qatar National Bank gained 0.8 percent and telecommunications firm Ooredoo added 1.9 percent.

Egypt's blue-chip index EGX30 fell 1.4 percent, with 23 of its 30 stocks declining.

Kuwait’s index was mainly flat while Bahrain’s index edged 0.1 percent lower and Oman’s index edged 0.1 percent higher.

Currencies

The dollar dropped on Tuesday, as analysts bet that the U.S. Federal Reserve would put its policy tightening on pause in 2019.

The dollar index, which measures the greenback against a basket of major currencies, weakened by 0.12 percent to 95.48.

Precious metals

Gold prices steadied on a weaker dollar.

Spot gold was flat at $1,291.24 per ounce at 0114 GMT.

U.S. gold futures were little changed at $1,291.3 per ounce.

(Reporting by Gerard Aoun; Editing by Shane McGinley)
(gerard.aoun@refinitiv.com)

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