Oil nears $100/barrel as Abu Dhabi hits record high, major Gulf bourses gain

A basket of major Gulf bourses had extended their latest leg of rallies on Monday into a third straight session in a row as oil prices near $100 per barrel

by Sourav D
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Oil nears $100/barrel as Abu Dhabi hits record high, major Gulf bourses gain

On Monday, a basket of major Gulf bourses had extended their latest leg of rallies into a third straight session in a row with Abu Dhabi spiking to a record closing high as oil prices near $100 per barrel, a critical indicator to Gulf traders’ morale.

In the matter of the fact, both US and UK crude oil prices jumped as much as 5.0 per cent on Friday following reports that China has been brewing off an option to ease its pandemic-led restrictions further. Nonetheless, crude oil prices fell over 1 per cent earlier in the day after data had revealed that China’s economy had unexpectedly contracted last month, however, investors appeared to have looked beyond the Government data amid hopes that business activities would continue to recoup losses following Beijing’s latest move to curb pandemic restrictions.

Besides, as market participants’ focus turned to US midterm election which is due to be held tomorrow, US dollar dwindled, feathering up crude oil prices further while freshening up Gulf traders’ sentiment.

Gulf bourses jump as Abu Dhabi hits record peak

Citing statistics, in the day’s Gulf market wind-down, the Kingdom of Saudi Arabia’s benchmark index rose 0.7 per cent, stretching out its latest run of winning streak, while Riyad Bank soared as much as 0.3 per cent.

Besides, Saudi oilfield service provider Arabian Drilling surged over 23 per cent in market debut. Abu Dhabi’s main index ascended 1.2 per cent to hit a record closing peak with shares’ prices of the country’s largest lender First Abu Dhabi Bank climbing as much as 2.1 per cent.

On top of that, Dubai bourse gained 0.9 per cent with blue-chip real-estate giant Emaar Properties advancing 2.3 per cent. Outside the Gulf, Egypt’s blue-chip index rose 2.4 per cent, as a majority of its 30 blue-chip stocks wrapped up the session in an affirmative territory.

Elsewhere in the Gulf, Qatar rose 1.3 per cent as S&P Global had raised the country’s sovereign debt rating to AA+ from a prior AA-, while Bahrain and Kuwait progressed 0.1 per cent and 0.9 per cent, respectively. However, Omani bourse shed 0.2 per cent.

Abu Dhabi
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