Egypt posts third winning session, other Gulf markets mixed

Egypt's stock market rose sharply on Sunday, extending gains for a third session following steep losses triggered by September 20 protests. Egypt's blue-chip index rose 3.3% with all 30 stocks gaining, including Commercial International Bank up 2.5% and a 5.3% surge in EFG Hermes.
Egypt's broader index EGX 100 closed up 3.7% as the central bank cut key interest rates for the second month in a row and anti-government protests failed to gather momentum. The central bank cut interest rates by 100 basis points, with overnight deposit rates lowered to 13.25% and lending rates easing to 14.25%. Egyptian police dispersed a protest in Cairo while mounting a huge show of force in the centre and in other cities after calls to demonstrate against President Abdel Fattah al-Sisi, witnesses said, as a large pro-Sisi rally was held in the capital.
The Saudi index rose 0.3%, led by its banking stocks with Arab National Bank gaining 2.6% and Saudi British Bank up 1.5%. Seera Group Holding jumped 6.4%. On Friday, Saudi Arabia launched a new visa regime for 49 countries and appealed to foreign companies to invest in a sector it hopes will contribute 10% of gross domestic product by 2030.
Among other stocks, National Shipping Co (Bahri) rose 3.4% after it announced a 0.5 riyal ($0.1333) mid-year dividend. The Dubai index slid 0.6%, extending losses for a fourth session led by real estate and financial shares. Emaar Properties, the country's largest listed developer, slid 0.6% and its unit Emaar Malls fell 1.6%.
A weakening property market in the United Arab Emirates is likely to put more pressure on the asset quality of the banking sector, Fitch Ratings said. A Reuters poll this month showed that Dubai property prices have slumped 25%-35% since mid-2014 and that analysts expect a further downtrend this year and next amid a slowing economy and an oversupply of housing units. In Qatar, the index ended 0.2% lower as Mesaieed Petrochemical fell 2% and Qatar Fuel lost 1.2%. In Abu Dhabi, the index edged up 0.1%, with First Abu Dhabi Bank rising 0.5%.