Most Gulf markets fell in early trade on Thursday, after the US Federal Reserve lifted interest rates to curb surging inflation, reigniting fears over economic growth.
The US central bank hiked interest rates on Wednesday by 75 basis points, its biggest raise since 1994.
In Abu Dhabi, equities fell 0.3%, with the Emirate’s largest lender First Abu Dhabi Bank dropped 0.5%.
Abu Dhabi National Energy, however, gained 2.4% after Abu Dhabi Securities Exchange approved listing of multi-tranche $8.25 billion bonds, starting June 23.
Dubai’s benchmark index eased 0.1%, with Emirates Integrated Telecommunication losing 1%.
Gulf bourses end mixed ahead of Fed meeting
Dubai business park operator Tecom Group set price guidance for its initial public offering between 2.46 dirhams ($0.66) and 2.67 dirham ($0.72) per share, implying a market capitalisation ranging from 12.3 billion dirhams to 13.4 billion dirhams.
The Qatari index edged 0.3% lower, hit by a 1.7% drop in Commercial Bank.
Saudi Arabia’s benchmark index, however, rose 0.6%, boosted by a 0.6% gain in Al Rajhi Bank and a 1.6% increase in Riyad Bank.
Oil giant Saudi Aramco gained 0.6%, as the company is likely planning to merge Motiva Trading with Aramco Trading ahead of a potential initial public offering of the business, people familiar with the matter said.
Oil Prices, a key catalyst for the Gulf’s financial markets, rebounded on a firm price outlook and hopes that China’s oil demand will pick up as it eases COVID-19 restrictions.
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