On Sunday, a gauge of Gulf bourses had winded down the day in an upbeat tenure, mostly boosted up by the gains of Qatari stocks despite another weekly percentage decline of crude oil futures’ prices, while financial sector stocks appeared to have catalysed the gains of the day’s Gulf markets’ closure.
In point of fact, Sunday’s gain in the Gulf bourses were almost entirely prompted by a sharp rise in debt issuances, as large lenders in the Gulf alongside Governments appear to be seeking to fill up the fiscal gaps meaded out of the menacing impacts of pandemic outbreak.
Rise in debt issuances led to Gulf stocks’ rally
In factuality, as a number of Gulf Governments had stepped up debt issuances to cushion up the fiscal blows stemmed off the pandemic outbreak alongside a freefall in crude futures’ prices, Qatari bourse gained 1.2 per cent, mostly buoyed by a 2.1 per cent upsurge in the shares’ prices of Qatar National Bank, the largest bank in the Gulf, while United Development Company had torrented 10 per cent.
Apart from that, Saudi’s main index added 0.8 per cent following a 3.5 per cent rise in Dr. Sulaiman Al-Habib Medical services, while Al-Rajhi Bank gained 0.9 per cent. Elsewhere in the Gulf, despite a downcast opening of the day, Dubai’s main index ended up the day 0.2 per cent higher, mostly backed by a 1.4 per cent gain in Emirates NBD, while Abu Dhabi’s main index muzzled 0.2 per cent against the trend of the day as First Abu Dhabi Bank, the largest bank in Emirates, fell 0.4 per cent as UAE appears to be at the verge of a pandemic resurgence.
Aside from that, Bahrain added 0.6 per cent and the Sultanate of Oman advanced 0.2 per cent, while the Kuwaiti bourse climbed 0.3 per cent. Outside the Gulf, Egyptian blue-chip index gains 0.2 per cent, buoyed by a 0.5 per cent rise of Commercial International Bank.