Most major Gulf stock markets posted broad gains on Tuesday, taking their cue from global markets that have been buoyed by expectations of an interest rate cut by the U.S. central bank, while the Saudi index hit a more than two-month high.

Saudi Arabia's main bourse added 0.4%, its seventh straight day of gains. The index has been rising since EFG Hermes forecast profit for the kingdom's financial sector to grow 7.6% in the second quarter. 

Telecom giant Saudi Telecom jumped 2.6%, while National Commercial Bank was up 0.7%.

The Dubai index, which is on track for its best month since April, edged up 0.3%, helped in part by a 5.2% surge in Amlak Finance after a media report that the firm was close to restructuring $1.2 billion of loans with creditors.

DXB Entertainment advanced 2.9%, a day after the theme park company reported 5% growth in second-quarter visits from a year earlier.

In Abu Dhabi, the index touched a two-month high as it rose 0.7%, driven by the country's largest lender First Abu Dhabi Bank, which gained 1.2% and Emirates Telecommunications, which increased 0.6%.

"Investor sentiment does seem to have improved in local markets, partly driven by the global lead - heightened expectations of a rate cut by the Fed this month," said Vrajesh Bhandari, senior portfolio manager, Al Mal Capital.

Qatar's index recouped earlier losses to end 0.1% higher, even though market heavyweight Industries Qatar lost 0.9%. Lender Masraf Al Rayan was up 0.5% after it posted slightly higher second-quarter profit.

Egypt's blue-chip index snapped a four-day losing streak and jumped 0.7%. Commercial International Bank Egypt SAE rose 1%, while Telecom Egypt Co SAE surged 2.2%.

Kuwait's index also recovered from an earlier decline and advanced 0.5%. The index is on track for its best month since March after a spate of gains triggered by MSCI's decision to move Kuwaiti equities to its main emerging-market index in 2020.

The index is up more than 28% year-to-date, outperforming its Gulf peers.

"The few corporate earnings that have come out until now have been better than expectations, which were generally modest. Investors are positioning in select securities and not necessarily buying the whole market," Bhandari said.

(Reporting by Ateeq Shariff and Shashwat Awasthi in Bengaluru; Editing by Andrew Heavens and Kirsten Donovan) ((AteeqUr.Shariff@thomsonreuters.com; +918067497129;))