Most Gulf shares gain on Fed easing bets; Egypt on winning streak
The U.S. added fewer jobs than expected in July, with sharp downward revisions to previous months, increasing bets on a September rate cut. According to the CME FedWatch tool, the odds for a cut now stand at about 80%, up from 63.1% a week ago.
Interest rate moves by the Fed have a significant impact on the Gulf region's monetary policy because most of its currencies are pegged to the U.S. dollar.
The Qatari benchmark index (.QSI), opens new tab rose 0.1%, with most stocks posting gains. The leading gainers included Commercial Bank (COMB.QA), opens new tab, which rose 0.9%, and Qatar Electricity and Water (QEWC.QA), opens new tab with a 1% rise.
Late on Sunday, Qatar's main electricity and desalinated water supplier QEWC reported a 2.7% increase in half-year net profit.
Dubai's benchmark stock index (.DFMGI), opens new tab gained 0.2% after two consecutive session of losses, supported by industry, utilities and finance sector shares.
Tolls operator Salik (SALIK.DU), opens new tab gained 1% and Gulf Navigation Holding (GNAV.DU), opens new tab rose for a second day, ending 5.2% higher. The maritime and shipping firm said last week it had raised its foreign ownership limit to 100% from 49%.
Saudi Arabia's benchmark stock index (.TASI), opens new tab snapped the previous session's losses and edged up 0.1%. ACWA Power (2082.SE), opens new tab advanced 3.1% and Saudi Arabian Mining (1211.SE), opens new tab added 2.2%.
However, Nice One Beauty Digital Marketing (4193.SE), opens new tab slumped 10% after the e-commerce company posted a quarterly net loss compared to a net profit a year earlier.
Among other losers, oil giant Saudi Aramco (2222.SE), opens new tab shed 0.4% ahead of its earnings announcement on Tuesday.
Elsewhere, oil prices - a catalyst for the Gulf's financial markets - fell to their lowest in a week after OPEC+ agreed to another large output increase in September.
Brent was down 2.3% at $68.06 a barrel by 1310 GMT.
The Abu Dhabi benchmark index (.FTFADGI), opens new tab fell for the second straight session, slipping 0.2% with most sectors in the red. ADNOC Drilling (ADNOCDRILL.AD), opens new tab lost 1% and Abu Dhabi Aviation (ADAVIATION.AD), opens new tab dropped 1.4%.
The diversified aviation services provider, ADA posted a 79% decrease in quarterly net profit attributable to shareholders.
Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab advanced for a third day and rose 1.3%, lifted by a 4.9% increase in Qala Holdings(CCAP.CA), opens new tab and 2.2% gain in Commercial International Bank(COMI.CA), opens new tab.
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