Gulf bourses tread water ahead of Eid holidays as Egypt gains

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Gulf bourses tread water ahead of Eid holidays as Egypt gains

On Sunday, in a thin-volume trading session in the Mideast ahead of the Eid holidays with a majority of traders having been absent from their desks, shares in the United Arab Emirates had wrapped up the day almost dithered, while Egypt’s blue-chip index gained.

In point of fact, Gulf traders usually take a cautious approach before going into holidays as any development in global markets could have intervened their positions during the holiday interval. In tandem, apart from the stock exchanges in United Arab Emirates and Egypt, major bourses in the Gulf including Saudi remained closed on Sunday due to the Eid-ul-Adha holidays.

Major Mideast bourses close flatlined ahead of Eid holidays

Citing statistics, in the day’s Gulf market wind down, Dubai’s main index had closed out almost flatlined as the gains in industrial stocks amid a multi-year high crude oil prices, which have always been a key catalyst for Gulf bourses, had been eclipsed by the declines in financial stocks.

Apart from that, as the OPEC+ member states had been set to boost output by 2 million bpd between August to December in a bid to calm down a blowout rally in oil prices, Mideast traders remained utterly cautious over developments in oil prices over coming days.

Besides, Islamic sharia-based lender Dubai Islamic Bank gained 0.9 per cent to help Dubai’s main index end the session marginally higher, while Abu Dhabi’s main index shed 0.1 per cent, mostly hit by a 0.8 per cent decline in the shares’ prices of telecommunication firm Etisalat.

Aside from that, the third-largest lender in UAE, Abu Dhabi Commercial Bank, had winded up the session almost flatlined despite reporting a 14 per cent jump in second-quarter profit. Outside the Gulf, Egypt’s blue-chip index added 0.8 per cent with the region’s largest lender Commercial International Bank rising as much as 1.7 per cent.