Stock markets in the Gulf ended mixed on Monday as traders fretted over global and local economic developments and a string of weak corporate earnings weighed on sentiment.
In Abu Dhabi, the index eased 0.2%, hit by a 2.4% slide in Alpha Dhabi Holding.
The Abu Dhabi stock market came under pressure as traders were still considering whether to lock in gains after April’s modest rebound, Fadi Reyad, Chief Market Analyst at CAPEX.com, said.
“While limited catalysts left the market without clear support, a strong rebound in oil prices could help limit losses and even reverse the market’s direction.”
Oil prices – a catalyst for the Gulf’s financial markets – rose almost 3% on Monday as US recession fears eased and some traders took the view that a crude price slide was overdone after three straight weekly declines for the first time since November.
Saudi Arabia’s benchmark index reversed early losses to finish flat.
Dubai’s main share index also ended flat.
In Qatar, the index added 0.4%, with Commercial Bank climbing 3.2%.
However, the index’s gains were limited by a 0.8% fall in petrochemical maker Industries Qatar after it reported a sharp decline in quarterly net profit.
Elsewhere, Qatar Aluminum Manufacturing Company retreated 2.6% on weak first-quarter earnings.
Outside the Gulf, Egypt’s blue-chip index rebounded 2.4%, ending five sessions of losses, as most of the stocks on the index were in positive territory including Abu Qir Fertilizers and Chemicals, which closed 9.4% higher.
