Market sentiment was further supported by expectations of stronger fourth quarter corporate results, improving liquidity conditions, and cautious optimism around oil price stability, all of which helped lift buying interest across banking and blue chip stocks.

The benchmark Saudi index advanced for a third straight session, led by gains in major lenders such as Al Rajhi Bank, as traders reacted positively to signals of regulatory easing and the potential for increased foreign capital inflows.

Analysts noted that the anticipated market opening could improve valuation depth, broaden investor participation, and enhance Saudi Arabia’s standing among emerging markets, even as concerns remain about global volatility and regional geopolitical risks.

Oil prices also played a supportive role, rebounding sharply in recent sessions amid heightened geopolitical pressure on Iran and supply related concerns, which helped reinforce confidence in energy linked revenues across the Gulf.

Despite this support, market participants remain selective, closely watching whether crude prices can sustain their recovery and continue to provide a stable earnings backdrop for listed companies.

In contrast, Qatar’s stock market edged lower as investors opted to lock in profits, with selling pressure seen across all major constituents including leading banking stocks.

Cautious sentiment persists in the Qatari market as investors weigh earnings prospects against regional uncertainty and the broader risk environment.

Outside the Gulf, Egypt’s equity market continued its strong upward momentum, with the main index touching a new record high supported by gains in real estate and diversified conglomerates.

The rally reflects sustained domestic investor interest, improving confidence in economic reforms, and expectations of resilient corporate performance despite global headwinds.

A year of record dealmaking, market leadership, and shareholder gains underpins Goldman Sachs’ decision to raise CEO David Solomon’s compensation in 2025.

Goldman Sachs has capped a powerful year by significantly increasing the compensation of its chief executive, David Solomon.
The move reflects strong financial performance, renewed dealmaking momentum, and the bank’s continued dominance on Wall Street.

David Solomon’s total compensation for 2025 rose by more than 20 percent, placing him among the highest-paid executives in global finance.

The increase underscores the board’s confidence in his leadership and the bank’s ability to outperform peers in a competitive environment.

The compensation package combines a stable base salary with substantial variable pay tied to performance. This structure aligns executive rewards with shareholder value creation and long-term strategic execution.

Goldman Sachs delivered a standout year marked by robust profits and expanding business lines. Its fourth-quarter results exceeded expectations, driven by strength in investment banking, trading, and advisory services.

A resurgence in global dealmaking played a central role in the bank’s success. Corporate confidence improved as financing conditions stabilized and companies returned to mergers, acquisitions, and capital markets activity.

Goldman advised on several landmark transactions during the year. These included multibillion-dollar acquisitions and leveraged buyouts that reinforced the firm’s reputation as a trusted advisor on complex, high-value deals.

The bank also played a key role in equity capital markets. Serving as a lead underwriter on one of the world’s largest initial public offerings highlighted Goldman’s reach across both private and public markets.

These high-profile mandates helped Goldman reclaim the top position in global mergers and acquisitions rankings. Advisory volumes reached historic levels, translating into billions of dollars in fees and reinforcing revenue diversification.

Looking ahead, Goldman’s leadership has expressed optimism about the investment banking environment in 2026. Lower interest rates, improving liquidity, and a more supportive regulatory backdrop are encouraging companies to pursue strategic transactions.

The bank’s board emphasized that Solomon’s compensation reflects both absolute and relative performance. It also considered the broader operating environment and the firm’s consistent delivery of results over multiple years.

Under Solomon’s stewardship, Goldman Sachs shares delivered strong gains during 2025. The stock outperformed major market indices and most global banking peers, rewarding long-term investors.

This market performance reflects not only cyclical tailwinds but also disciplined execution. Goldman has focused on strengthening core franchises while maintaining risk management and capital discipline.

Solomon’s journey within the firm adds a notable personal dimension to his leadership story. After joining as a partner in the late 1990s, he steadily rose through the ranks to lead the institution.

His tenure as CEO has been defined by navigating market volatility and strategic shifts Balancing traditional investment banking strengths with evolving market opportunities has been central to his approach.

Goldman’s culture of performance-based compensation remains a defining feature. The latest pay decision reinforces the firm’s long-standing philosophy of rewarding results and accountability.

In a year when many banks faced uneven conditions, Goldman stood out for consistency. Its diversified business model allowed it to capture upside across multiple market cycles.

As global finance enters a new phase shaped by technology, geopolitics, and capital flows, Goldman’s positioning remains strong. Leadership continuity and clear strategic priorities are expected to support further growth.

Overall, the increase in David Solomon’s compensation signals confidence in both past execution and future prospects. It reflects a broader narrative of renewed momentum for Goldman Sachs at the heart of global finance.

London’s blue-chip index softened at the start of the week, with sector-specific declines shaping investor sentiment ahead of the UK’s upcoming budget announcement.

London’s FTSE 100 drifted slightly lower on Monday, reflecting cautious market behaviour as consumer staples and industrial stocks recorded losses while investors prepared for the much-anticipated national budget later this week.

The index closed with a marginal decline of 0.1%, a movement influenced by sector-level weakness and broader global uncertainty weighing on trading activity.

Meanwhile, the FTSE 250 managed to advance by 0.2%, ending a lengthy losing streak and showing signs of resilience within the mid-cap segment.

Aerospace and defence companies registered declines, dropping around 1.7%, with several major firms losing ground amid progress in diplomatic negotiations aimed at resolving the conflict in Ukraine.

Major players in the sector experienced noticeable shifts, including one leading defence manufacturer down 3.6%, alongside another large engineering and defence services provider which slipped 1.6%.

Consumer-facing industries also contributed to downward pressure on the FTSE 100, as beverage and household goods stocks weakened across the board.

Major beverage companies saw losses of around 1.8%, while personal care, drug, and grocery stocks fell by 1.2% amid subdued demand outlooks.

Retail-focused names were among the notable decliners, with a well-known British retailer sliding 2.6% during the session.

Utilities also moved lower, recording losses of 1.3%, adding to the overall softness seen within defensive sectors of the index.

In contrast, banking stocks provided a positive counterbalance, rising approximately 1% on the day, supported by favourable projections for net interest income growth across European financial institutions.

One major international bank climbed nearly 3% following an analyst upgrade to a more optimistic rating, while another significant UK banking group rose over 2% after being named a top pick for the coming year.

Precious metals miners also delivered strong performance as investors shifted towards gold, lifting the sector by nearly 6% amid expectations of potential interest rate cuts by the Federal Reserve.

A leading precious metals producer surged more than 9%, while another major mining company gained 4% as commodity prices strengthened.

Homebuilders saw renewed momentum after a major investment bank initiated coverage with a constructive outlook, helping several prominent developers rise during the session, including one firm advancing 3.8%.

Travel and leisure stocks added upward support for the mid-cap index, with one major budget airline gaining 3.6% as sentiment improved around consumer travel trends.

Despite Monday’s rebound, the FTSE 250 remains down around 5% from its peak in early October, reflecting ongoing concerns about global market volatility and domestic fiscal uncertainty.

Market watchers are turning their attention to the upcoming budget announcement, where the finance minister is expected to introduce significant tax increases to address borrowing requirements and sustain welfare spending.

While income tax is expected to remain untouched due to election commitments, additional measures across other tax categories are anticipated as part of the government’s adjustment plan.

Global equities also posted gains at the start of the week, supported by recent comments from a U.S. Federal Reserve official that lifted expectations for an interest rate cut in December.

These developments come following a sharp market pullback driven by concerns over elevated valuations in artificial intelligence-linked stocks, creating a mixed but cautiously stabilising environment for global investors.

In corporate news, one major mining company saw its shares rise by 0.9%, after a rival firm formally withdrew its final attempt to acquire the business following extended negotiations.