|23 October, 2019

Mideast Stocks: Property shares weigh on Egypt; other Gulf markets mixed

Sipchem dips on poor Q3 earnings

An employee walks past a board at Egypt's stock exchange at Smart Village in Cairo, Egypt, September 10, 2017. Picture taken September 10, 2017.

An employee walks past a board at Egypt's stock exchange at Smart Village in Cairo, Egypt, September 10, 2017. Picture taken September 10, 2017.

REUTERS/Amr Abdallah Dalsh

Most Gulf stock markets moved marginally amid falling oil prices on Wednesday, while Egypt’s blue-chip index declined, led by property shares.

Oil prices slipped towards $59 a barrel on data showing a bigger-than-expected rise in U.S. crude stocks, while the prospect of deeper output cuts by OPEC and its allies offered support. 

Saudi Arabia's index extended gains from the previous session to close 0.2% up. Al Rajhi Bank gained 0.7%, while Alinma Bank1150.SE rose a further 1.3%.

On Tuesday, Alinma reported a rise in third-quarter profit to 713 million riyals ($190.10 million) compared to 637 million a year earlier.

However, gains were capped by losses in petrochemical stocks.

Sahara International Petrochemical (Sipchem) slid 2.8% following a more than 38% plunge in third-quarter net profit. The petrochemical maker said it was due to a decrease in selling prices for most of the products.

Egypt's blue-chip index decreased 0.5%, with most stocks on the index falling. Property stock Talaat Mostafa lost 1.7% and El Sewedy Electric was down 1.5%. Among other stocks, developer Madinet Nasr also decreased 1.9%.

Egypt's non-oil private sector contracted for the second consecutive month in September, according to the IHS Markit Egypt Purchasing Managers' Index (PMI). 

In Dubai, the index closed 0.3% down with Emaar Properties shedding 1.1% and Dubai Islamic Bank falling 0.6%.

Deyaar Development retreated 3%, a day after it surged over 10% on a future prospect.

The developer on Monday reported accumulated losses of 1.51 billion dirhams ($411.13 million) but said it would continue to launch quality projects and wanted to diversify income resources through property and facilities management services. 

The Abu Dhabi Index added 0.3%, extending gains for a third straight session, with First Abu Dhabi Bank and Aldar Properties gaining 0.4% and 1.8% respectively.

Qatar's index dipped 0.2%, extending losses for a fifth straight session, as Qatar Fuel declined 1.6% and Mesaieed Petrochemical ended 2.2% lower.

But Commercial Bank edged up 0.2% after it reported a rise in nine-month profit to 1.50 billion riyals ($412.09 million) compared to 1.35 billion riyals a year earlier.

($1 = 3.6728 UAE dirham)

($1 = 3.6400 Qatar riyals)

(Reporting by Ateeq Shariff in Bengaluru, Editing by William Maclean) ((AteeqUr.Shariff@thomsonreuters.com; +918067497129;))

More From Markets