Mideast stocks sink as US oil futures trade below zero

• Saudi Arabia's benchmark index dropped 1.6%, with oil giant Saudi Aramco shedding 2% and petrochemical firm Saudi Basic Industries shedding 3.9%.

Stock markets in the Middle East closed lower on Tuesday as US oil futures remained in negative territory on concern the United States will run out of storage amid an oil glut caused by coronavirus lockdowns.

US West Texas Intermediate crude for May delivery traded at minus $7 a barrel by 1106 GMT, up $30.63 from Monday's close, when the contract settled at a discount of $37.63 a barrel.

Global benchmark Brent crude for June delivery was down $4.1, or 16% at $21.48 per barrel.

Saudi Arabia's benchmark index dropped 1.6%, with oil giant Saudi Aramco shedding 2% and petrochemical firm Saudi Basic Industries shedding 3.9%.

Saudi Electricity Company ended down 3.1% after waiving a 2019 dividend on shares of Public Investment Fund (PIF), the kingdom's sovereign wealth fund that has more than 74% stake in the firm.

Saudi Arabia, the world's biggest oil exporter, announced last month a cut of nearly 5% in its 2020 budget, amounting to 50 billion riyals, and said spending would be reassessed as low oil prices and the coronavirus outbreak threaten growth.

In Dubai, the index slid 3.3%, dragged down by a 4.8% drop in Emirates NBD Bank and a 4.1% fall in Dubai Islamic Bank.

On Monday, Emirates NBD reported a net profit of 2.08 billion dirhams ($566.33 million) for the first three months of 2020, down 24% from the same period a year earlier.

The Abu Dhabi index retreated 2.7%, led by a 4.9% fall in the country's largest bank, First Abu Dhabi Bank .

Qatari index eased 1.4%. Qatar National Bank fell 2.3% and petrochemical maker Industries Qatar was also down 2.3%.

Outside the Gulf, Egypt's blue-chip index traded 2.8% down after a two-session break, with Commercial International Bank dropping 3.8% and tobacco monopoly Eastern Company falling 3.9%.