Most stock markets in the Gulf were up in early trading on Thursday amid higher oil prices, while investors also scoured for clues to the health of the US economy and the labour market.

Oil prices, a catalyst for the Gulf’s financial markets, rose 0.8% as major producers may delay an output increase planned for next month and US inventories fell.

The Abu Dhabi benchmark index was up 0.5%, supported by a 1.3% gain in ADNOC Gas and a 1.1% rise in ADNOC Drilling.

Meanwhile, Abu Dhabi state oil giant ADNOC will acquire a 35% stake in a planned Exxon Mobil large-scale hydrogen plant in Texas, the companies said on Wednesday.

Dubai’s benchmark stock index rose 0.3%, aided by gains in most sectors, with Emaar Properties adding 1.6% while Dubai Electricity and Water Authority increasing by 1.7%.

Elsewhere, growth in the United Arab Emirates’ non-oil private sector rebounded in August, a survey showed on Wednesday, supported by a pickup in new orders.

Saudi Arabia’s benchmark stock index was down 0.2% in early trading, with most of its constituents posting losses.

ACWA Power fell 1% and Saudi Arabian Mining lost 1.1%.

Fawaz Abdulaziz Alhokair Co, however, surged 10% after the retailer said it canceled a capital reduction plan.

Most Gulf markets rise on US rate cut prospects

The Qatari benchmark index inched up 0.1% with Qatar National Bank, the region’s largest lender, adding 0.4%, and telecom services provider Ooredoo gaining 2.2%.

Investors will focus on a reading on the US services industry and jobless claims data on Thursday, along with August report for nonfarm payrolls due on Friday.

Markets are now pricing in a 44% chance of a cut of 50 basis points at the bank’s Sept. 17-18 meeting.

Monetary policy in the six-member Gulf Cooperation Council is usually guided by the Fed’s decisions, as most regional currencies are pegged to the US dollar.