Most Gulf stock markets rose in early trade on Monday, reflecting higher oil prices as investors’ risk appetite increased following statistics on US jobs and Chinese exports that alleviated recession fears.
By 0638 GMT, Brent crude futures were up 81 cents, or 0.9 percent, at $95.73 per barrel.
Saudi Arabia’s benchmark index (.TASI) rose 0.5 percent, bringing a four-session losing streak to an end. Retal Urban Development Co (4322.SE) rose 1.3 percent, while the country’s largest lender, Saudi National Bank (1180.SE), up 1.5 percent.
The kingdom recorded a budget surplus of about 78 billion riyals ($21 billion) in the second quarter of 2022, according to the finance ministry, a nearly 50 percent increase from a year earlier, boosted by strong oil prices.
Saudi Arabia has promised to “decouple” state spending from swings in oil prices. Its planned surplus for 2022 – its first in over a decade – will be held in the government’s current account until the finance committee determines how to spend it, which is expected early next year.
Dubai’s main share index (.DFMGI) rose 0.5 percent, led by 0.7 percent gains in top lender Emirates NBD (ENBD.DU) and 0.6 percent gains in blue-chip developer Emaar Properties (EMAR.DU).
Equities in Abu Dhabi (.FTFADGI) were up 0.5 percent, with conglomerate International Holding Co (IHC.AD) up 1 percent.
The UAE plans to invest $1 billion in Pakistani enterprises across multiple sectors, according to state news agency (WAM), citing an official source in Abu Dhabi.
The Qatari index (.QSI) rose 0.6 percent, with Qatar Aluminium Manufacturing Co (QAMC.QA) up 5 percent as the company announced a significant increase in first-half profit.
Qatar’s Central Bank’s foreign reserves and hard currency liquidity increased 2.79 percent year on year in July to 211.325 billion riyals ($57.90 billion), according to the Gulf state’s official news agency QNA.
(1 dollar = 3.6500 Qatar riyals)