April 12 (Reuters) - Gulf stock markets rose in early
trade on Wednesday ahead of a crucial U.S. inflation report that
would likely influence how soon the Federal Reserve would end
its aggressive interest rate hikes.
Saudi Arabia's benchmark index gained 0.2%, after
two sessions of losses, helped by a 0.9% rise in Dr Sulaiman
Al-Habib Medical Services .
After data showed a resilient U.S. labour market,
emboldening bets of a 25 basis point hike at the Fed's next
meeting in May, investor attention is firmly on the March
inflation report due later in the day.
Most Gulf Cooperation Council countries, including Saudi
Arabia, the United Arab Emirates and Qatar, have their
currencies pegged to the U.S. dollar and follow the Fed's policy
moves closely, exposing the region to a direct impact from
monetary tightening in the world's largest economy.
The U.S. government will release its stockpile data at 10:30
a.m. (1430 GMT) on Wednesday.
Dubai's main share index gained 0.5%, with
blue-chip developer Emaar Properties advancing 1.6%.
In Abu Dhabi, the index added 0.2%.
Oil prices - a key catalyst for the Gulf's financial markets
- edged up as the market waited for U.S. inflation data.
In addition to the inflation data, the market is waiting for
more clarity on oil demand and supply with monthly reports from
the Organization of the Petroleum Exporting Countries (OPEC) and
the International Energy Agency due on Thursday and Friday
respectively.
The Qatari index was up 0.3%, on track to extend
gains from the previous session, with Ezdan Holding putting on 2.8%.
(Reporting by Ateeq Shariff in Bengaluru; Editing by Rashmi
Aich)
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