Mideast markets: Kuwaiti shares rise on rule extension; Egypt's main index down

Kuwaiti shares rebounded on Tuesday from a seven-year low as the regulator gave investment firms more time to apply new rules, while Egyptian shares fell after a delay in swearing in a new cabinet.
Kuwait's Capital Market Authority said investment funds would now have until March 2012 to implement a regulation that does not allow a fund to invest more than 10 percent of its total assets in a single security, the state news agency KUNA said.
The rule is seen as difficult to implement and is causing issues for the market.
"People will have to dump the funds and not one is interested in buying them," said Badr al Ghanim, Global Investment House vice-president of asset management.
"It will also make it difficult to track the index."
The benchmark rose 0.5 percent, halting a three-session decline. National Bank of Kuwait gained 3.7 percent, telecom operator Zain rose 1 percent and Gulf Bank climbed 2 percent.
In Egypt, the main index dipped 0.6 percent after the prime minister was hospitalised on Monday, delaying the swearing-in of a new cabinet and adding to an uncertain political outlook.
Commercial International Bank dipped 0.4 percent and Ezz Steel fell 1.4 percent after saying its full-year 2010 profit fell 53 percent. All but five stocks ended lower.
Traders said investors are waiting for more news on premier Essam Sharaf's illness and whether it further delays the investiture of the reshuffled cabinet.
In Qatar, the 10 largest stocks fell, dragging the index to a three-week low amid downbeat regional sentiment.
Doha's benchmark slipped 0.7 percent to its lowest close since June 30 as most Gulf Arab markets also dipped weighed by a weak performance in global markets on debt woes.
"Although Q2 reports are coming out above expectations, it seemed to be shrugged off," said a Doha-based trader who declined to be named. Qatar National Bank and Industries Qatar each fell 0.9 percent, and Qatar Telecom shed 0.3 percent.
"We are noticing selective buying on certain prices. Foreigners remain net sellers on the exchange," the trader said.
World stocks clawed back some recent losses and the euro firmed on Tuesday as investors paused from their selloff of riskier assets triggered by debt crises in the eurozone and United States.
Abu Dhabi's index slumped to a six-week low as banks weighed and Dubai's market fell to its lowest close in July. Abu Dhabi's benchmark slipped 0.4 percent to its lowest close since June 8.
First Gulf Bank fell 1.1 percent, Abu Dhabi Commercial Bank dropped 1.2 percent and Union National Bank lost 1.7 percent.
Telecom operator Etisalat slipped 0.5 percent, extending declines after reporting a 14.9 percent drop in quarterly net profit on Monday. Competition in fixed-line services will start by year-end, the UAE regulator said on Tuesday.
Dubai's index dipped 0.7 percent to its lowest close since June 29.