DUBAI: Stock markets in the Gulf ended mixed on Monday as investors await a likely cut to US interest rates this week, with the Saudi index giving up early gains to conclude in negative territory.

The US Federal Reserve is all but certain to cut rates on Wednesday, but the debate is over the size of the cut, with market bets inclining towards 50 basis points (bps), LSEG data showed.

Monetary policy in the Gulf Cooperation Council (GCC), which includes the UAE, often aligns with the US Federal Reserve’s decisions as most of the regional currencies are pegged to the US dollar.

Dubai’s main share index gained 0.3%, with Dubai Taxi Company advanced 7.5%, extending gains from the previous session.

The taxi operator on Friday announced the company had been awarded 300 new plates, expanding its fleet, at the latest auction held by Dubai’s Roads and Transport Authority.