Amid anticipation of inflation data in the United States, most of the major stock markets in the Gulf region are declining.
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It declined in most Gulf markets before the release of US inflation data
Most of the major stock markets in the Gulf region declined today, Thursday, amid anticipation of inflation data in the United States, but the rise of the National Bank of Saudi Arabia led the Saudi market to rise.
Monetary policy in the six countries of the Gulf Cooperation Council usually follows the decisions of the Federal Reserve (the US Central Bank), as most of the currencies of the countries of the region are pegged to the dollar, which makes them vulnerable to direct effects of any monetary tightening adopted by the US Central Bank.
Oil prices, a major catalyst for financial markets in the Gulf, were generally stable on Thursday, with Brent crude steady at $82.67 a barrel by 07:25 GMT.
The main index in Qatar fell 0.5%, to continue recording losses for the third consecutive session, under pressure from the 2.8% decline in Qatar National Bank, the largest Gulf bank in terms of assets, despite its announcement, yesterday, Wednesday, that its annual net profit increased by 9%.
The main indicators in Abu Dhabi and Dubai were stable.
In Saudi Arabia, the main index rose 0.4%, supported by a 1% jump in the share of the National Bank of Saudi Arabia, following the recommendation of its board of directors to increase the bank’s capital by granting bonus shares to the bank’s shareholders through a capitalization of 15.22 billion Saudi riyals from the retained earnings, by granting approximately one share for every 3 owned shares. He also recommended distributing cash dividends of 0.6 riyals per share for the second half of 2022.
Among the active stocks was Saudi Telecom Company (STC), which jumped 1.2% following it signed a binding contract with the Arab Company for Internet and Communications Services (Solutions) to sell its entire 49% stake in Call Centers Company (CCC). ).
Arab Internet and Communications Services fell 0.1%. In a separate context, Saudi Energy Minister Prince Abdulaziz bin Salman said yesterday, Wednesday, that the kingdom plans to use uranium from domestic sources to build its nuclear energy industry.