Most Gulf markets in red on oil, weak Chinese data; Saudi gains

Reuters

Among other losers, logistics firm Aramex (ARMX.DU) tumbled 5.1% following a sharp decline in quarterly profit.

Most stock markets in the Gulf were subdued on Thursday as investors reacted to volatile oil prices and Chinese economic data, although the Saudi index bucked the trend to trade higher.

Dubai’s main share index (.DFMGI) dropped 0.5%, weighed down by a 2.1% fall in blue-chip developer Emaar Properties (EMAR.DU) after reporting a fall in second-quarter profit.

Emaar Properties has posted a roughly 15% drop in net profit for the quarter ended June 30.

The Dubai stock market remained exposed to price corrections after hitting a new high for this year, said Daniel Takieddine, CEO MENA at BDSwiss.

“Traders reacted to the mixed earnings results and were cautious before the release of U.S. inflation data.

Among other losers, logistics firm Aramex (ARMX.DU) tumbled 5.1% following a sharp decline in quarterly profit.

In Abu Dhabi, the index (.FTFADGI) closed 0.5% lower, weighed down by a 1.7% decline in the country’s biggest lender First Abu Dhabi Bank (FAB.AD).

Saudi Arabia’s benchmark index (.TASI) advanced 1.2%, extending gains from the previous session when it snapped a nine-session losing streak, buoyed by a 2.6% rise in oil giant Saudi Aramco (2222.SE).

The Saudi stock market rebounded to a certain extent after a long string of price corrections, said Takieddine.

“The market could see traders return to buying after the decline in search of opportunities.”

Outside the Gulf, Egypt’s blue-chip index (.EGX30) eased 0.3%, with Telecom Egypt (ETEL.CA) losing 2%.

Egypt’s annual core inflation reached 40.7% in July, down from 41% in June, data from the central bank showed on Thursday.