Major Gulf markets gain as earnings lift sentiment amid U.S.-Iran optimism

Kitco Media
By Reuters
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Reuters
Major Gulf markets gain as earnings lift sentiment amid U.S.-Iran optimism teaser image

May 7 (Reuters) - Major Gulf stock markets climbed in early Thursday trading, supported by strong corporate ​earnings and optimism over a potential U.S.-Iran peace ‌deal, though uncertainty persisted over the fate of the strategically vital Strait of Hormuz.

On Wednesday, Iran said ​it was reviewing a U.S. peace ​proposal which, according to sources, would officially ⁠bring the war to an end but ​would leave unresolved Washington's main demands that Tehran ​halt its nuclear program and reopen the Strait of Hormuz.

Saudi Arabia's benchmark index (.TASI),  rose 0.2%, with ACWA ​Power (2082.SE),  rising 6.5%, while Elm Co (7203.SE), jumped ​10% following a steep rise in first-quarter profit.

Dubai's main share ‌index (.DFMGI), gained 0.8%, led by a 7.8% surge in Emirates Central Cooling Systems (EMPOWER.DU), after an upbeat quarterly earnings.

Meanwhile, the United Arab Emirates said on ​Wednesday that ​its ties ⁠and its international and defense partnerships were a "purely sovereign matter," rejecting ​an earlier statement by Iran saying ​that ⁠Abu Dhabi's cooperation with the U.S. threatened Iran's security and national interests.

In Abu Dhabi, the index (.FTFADGI), ⁠was ​up 0.3%, with Abu ​Dhabi Islamic Bank (ADIB.AD), rising 1.4%.

The Qatari index (.QSI), added 0.2%.

Reporting by ​Ateeq Shariff in Bengaluru; Editing by Ronojoy Mazumdar

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