Most Gulf stock markets fell in early trading on Monday, weighed down by weak oil prices and investor caution ahead of U.S. economic data and Federal Reserve comments expected this week.
Saudi Arabia’s benchmark index (.TASI) dropped 0.6%, with ACWA Power Company (2082.SE) declining 0.5%, and aluminium products manufacturer Al Taiseer Group (4143.SE) also losing 0.5%. Oil prices—key to Gulf financial markets—remained nearly flat as fears of supply disruptions from a U.S. storm eased, and China’s recent stimulus plan disappointed investors hoping for fuel demand growth from the world’s second-largest oil consumer.
In Qatar, the main index (.QSI) declined 0.3%, impacted by a 0.9% drop in petrochemical maker Industries Qatar (IQCD.QA) and a 1% decrease in Qatar Gas Transport Nakilat (QGTS.QA). Meanwhile, Abu Dhabi’s index (.FTFADGI) eased by 0.2%.
Several U.S. Federal Reserve officials, including Chair Jerome Powell, are scheduled to speak this week. Upcoming U.S. data releases include the consumer and producer price indices, weekly jobless claims, and retail sales figures.
Market expectations show a 65% probability of a 25-basis-point rate cut by the Fed in December, while the chance of no change stands at 35%, according to the CME Fedwatch tool. Monetary policy in the six-member Gulf Cooperation Council (GCC) typically aligns with the Fed, as most GCC currencies are pegged to the U.S. dollar.
In Dubai, the main share index (.DFMGI) gained 0.5%, with Emirates NBD (ENBD.DU) rising 1.6% and blue-chip developer Emaar Properties (EMAR.DU) climbing 1.1%.
Separately, Delivery Hero’s Middle Eastern subsidiary, Talabat, announced it would list on the Dubai Stock Exchange in mid-December, floating 15% of its issued shares, as revealed by its German parent company on Sunday.