Most stock markets in the Gulf rose in early trade on Monday, shrugging off geopolitical tensions amid the ongoing war between major oil producer Russia and Ukraine, although the Saudi index bucked the trend to trade lower.

Last week, Russia fired a hypersonic missile at Ukraine in a warning to the United States and Britain following strikes by Kyiv on Russia, using US and British weapons.

Dubai’s main share index advanced 0.7%, led by a 2% rise in blue-chip developer Emaar Properties and a 2.2% increase in toll operator Salik. The Abu Dhabi index was up 0.4%.

In Qatar, the index added 0.3%, with Qatar Islamic Bank rising 0.9% and petrochemical maker Industries Qatar up 0.5%.

MSCI’s broadest index of Asia-Pacific shares rose following US President-elect Donald Trump’s selection of fund manager Scott Bessent as the next US Treasury secretary, with investors expecting he will be a voice for markets in Washington.

Most Gulf markets gain on oil; Egypt falls

Saudi Arabia’s benchmark index dropped 0.5%, weighed down by a 1.5% fall in Al Rajhi Bank and a 1.7% decline in Saudi Arabian Mining Company.

Oil prices - a catalyst for the Gulf’s financial markets - retreated following 6% gains last week, but remained near two-week highs as geopolitical tensions grew between Western powers and major oil producers Russia and Iran, raising risks of supply disruption. Saudi Arabia’s energy index eased 0.2%.