Most Gulf markets gain on Trump’s presidential win
9:29 am Wednesday, November 06th, 2024
By Ateeq Shariff
(Reuters) – Most stock markets in the Gulf ended higher on Wednesday as a win by Republican Donald Trump in the U.S. presidential election fuelled expectations of more business-friendly policies, analysts said.
Saudi Arabia’s benchmark index gained 0.7%, Dubai’s main share index added 0.5% and in Abu Dhabi, the index added 0.4%.
“Analysts noted that these market moves align with investor expectations of a Trump administration’s economic approach, prioritising reduced regulatory pressures and trade policy changes,” Mohamed Hashad, chief market strategist, at Noor Capital said.
Saudi’s Al Rajhi Bank rose 2.3% and Saudi Arabian Mining Company closed 4.1% higher, while Saudi Electricity Co jumped 6.3%, following a steep rise in quarterly net profit.
The biggest mover in Dubai was toll operator Salik Company, which gained 2.5%, while sharia-compliant lender Dubai Islamic Bank gained 1.2%, a day after reporting a rise in third-quarter profit.
In Abu Dhabi, conglomerate International Holding rose 0.8% ahead of its earnings announcement.
However, crude prices – a catalyst for the Gulf’s financial markets – fell as the U.S. dollar rallied on Trump’s win.
Investors believe a Trump presidency will bolster the dollar as interest rates may need to remain high to combat inflation resulting from any new tariffs.
Outside the Gulf, Egypt’s blue-chip index gained 0.8%, with Fawry For Banking Technology Electronic Payments rising 3.2%.
Egypt’s net foreign reserves rose to $46.942 billion in October from $46.737 billion in September, the central bank said on Wednesday.
SAUDI ARABIA rose 0.7% to 12,093
ABU DHABI rose 0.4% to 9,425
DUBAI gained 0.5% to 4,616
EGYPT up 0.8% to 31,045
BAHRAIN finished flat at 2,020
OMAN eased 0.2% to 4,714
KUWAIT added 0.6% to 7,716
(Reporting by Ateeq Shariff in Bengaluru; Editing by Sharon Singleton)
