MIDEAST STOCKS-Earnings boost Saudi index; oil weighs on other markets

Kitco Media
By Reuters
Published:
Updated:
Reuters
By Ateeq Shariff May 11 (Reuters) - Saudi Arabia's stock market ended higher on Thursday after a set of strong earnings from major firms, while most other markets were in negative territory as oil prices turned red. Saudi Arabia's benchmark index finished 0.9% higher, buoyed by a 4.1% rise in Riyad Bank while Etihad Etisalat Company jumped 4.5%. The telecom firm reported quarterly net profit after zakat and tax 465 million riyals ($124 million), up from 319 million riyals year ago. Elsewhere, Savola Group concluded 4.7% higher, following a rise in quarterly earnings. The main index could maintain its uptrend and extend gains in particular if oil prices are able to rebound more strongly, said Ahmed Negm, Head of Market Research MENA at XS.com. Dubai's main share index eased 0.1%, with sharia-compliant lender Dubai Islamic Bank retreating 1.1%. In Abu Dhabi, the index closed 0.6% lower, with conglomerate International Holding losing 0.3% as the firm is slated to report its first-quarter earnings. Oil prices - a key catalyst for the Gulf's financial markets - erased earlier gains during U.S. trading hours as a political standoff about the U.S. debt ceiling overshadowed a G7 finance leaders' meeting, raising jitters about a possible recession in the world's biggest oil consumer. Outside the Gulf, Egypt's blue-chip index declined 1.3%, as most of the stocks on the index were in neagtive territory including top lender Commercial international Bank , which was down 1.1%. The Egyptian bourse slid as it failed to move beyond this year's peak, said Negm. "At the same time, international investors continue their selling trend in the face of a potential pound devaluation in the medium term and as the country is faced with a possible deterioration in credit rating."



SAUDI ARABIA rose 0.9% to 11,393 ABU DHABI fell 0.6% to 9,700 DUBAI down 0.1% to 3,569 QATAR gained 0.1% to 10,742 EGYPT lost 1.3% to 17,271 BAHRAIN was up 0.1% to 1,937 OMAN added 0.3% to 4,667 KUWAIT eased 0.2% to 7,671
($1 = 3.7501 riyals) (Reporting by Ateeq Shariff in Bengaluru; Editing by Krishna Chandra Eluri)

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