March 15 (Reuters) - Most stock markets in the Gulf
rebounded in early trade on Wednesday as concerns of a banking
crisis eased, while U.S. inflation data came in line with
expectations, improving the odds of a smaller rate hike by the
Federal Reserve next week.
The Federal Reserve is seen raising its benchmark rate a
quarter of a percentage point next week and again in May.
Most Gulf currencies are pegged to the dollar, and Qatar,
Saudi Arabia and the United Arab Emirates usually mirror any
monetary policy change in the United States.
Saudi Arabia's benchmark index gained 0.3%,
supported by a 1.7% rise in Dr Sulaiman Al-Habib Medical
Services , while National Shipping Company Of Saudi
Arabia jumped more than 5%, a day after reporting a
sharp rise in annual profits.
But the index's gains were limited by a 1.5% fall in oil
giant Saudi Aramco as the stock went ex-dividend.
Dubai's main share index advanced 1.1%, and is on
course to end a six-day losing streak, buoyed by a 3.5% leap in
sharia-compliant lender Dubai Islamic Bank .
In Abu Dhabi, the index added 0.3%.
Oil prices — a key catalyst for the Gulf's financial markets
— rebounded more than 1%, after the previous day's fall, as
OPEC's upwards revision for Chinese consumption offset bearish
global investor sentiment triggered by U.S. bank failures. The Qatari benchmark , however, traded 0.2% lower,
dragged down by a 5.8% slide in utility firm Qatar Electricity
and Water Co as the stock went ex-dividend.
(Reporting by Ateeq Shariff in Bengaluru; Editing by Shilpi
Majumdar)
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