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Gulf bourses end lower on geopolitical tensions

Published 10/22/2024, 04:51 AM
Updated 10/22/2024, 09:46 AM
© Reuters. An investor walks through the Dubai Financial Market after Joe Biden won the U.S. presidency, in Dubai, United Arab Emirates November 8, 2020. REUTERS/Christopher Pike/ File Photo
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By Ateeq Shariff

(Reuters) - Stock markets in the Gulf ended lower on Tuesday as geopolitical tension gripped the region and corporate earnings failed to lift investor sentiment.

Lebanon's Hezbollah movement said on Tuesday there would be no negotiations while fighting continued with Israel, and claimed sole responsibility for a drone attack on Israeli Prime Minister Benjamin Netanyahu's holiday home.

U.S. Secretary of State Antony Blinken arrived in Israel on Tuesday for meetings with Israeli leaders, the first stop of a wider Middle East tour to launch another push for an elusive ceasefire.

Saudi Arabia's benchmark index dropped 0.4%, hit by a 1.1% fall in ACWA Power Company and a 1.8% decrease in Middle East Pharmaceutical Industries.

Elsewhere, oil giant Saudi National Bank edged 0.1% lower, despite reporting a rise in third quarter net profit.

The International Monetary Fund lowered its GDP growth forecast for Saudi Arabia for 2024 to 1.5% and estimated growth would accelerate to 4.6% next year in its latest World Economic Outlook Report released on Tuesday.

The IMF projects oil prices will rise by 0.9% in 2024 to about $81 a barrel. It has previously said Saudi Arabia needs prices at close to $100 per barrel to balance its budget.

Dubai's main share index eased 0.2%, with leading lender Emirates NBD losing 1.3%.

In Abu Dhabi, the index fell 0.3%.

The Qatari benchmark lost 0.3%, as Qatar Islamic Bank declined 1.7%.

However, Doha Bank gained 0.8%, following a rise in nine-month net profit.

Outside the Gulf, Egypt's blue-chip index finished 0.1% lower, weighed down by a 9.2% slide in Abu Qir Fertilizers.

SAUDI ARABIA down 0.4% to 11,957

ABU DHABI lost 0.3% to 9,246

DUBAI dropped 0.2% to 4,467

QATAR down 0.3% to 10,573

EGYPT fell 0.1% to 30,427

BAHRAIN eased 0.2% to 1,990

© Reuters. An investor walks through the Dubai Financial Market after Joe Biden won the U.S. presidency, in Dubai, United Arab Emirates November 8, 2020. REUTERS/Christopher Pike/ File Photo

OMAN fell 0.1% to 4,796

KUWAIT decreased 0.2% to 7,513

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