Saudi markets edge higher; other Gulf subdued

Saudi Arabia’s markets rose for a second day on Monday, following the agreement between OPEC and its allies to extend output cuts by 500,000 barrels per day, while other major Gulf equities saw a sluggish start.

Saudi Arabia spearheaded a deal on Friday where the OPEC+ group of oil producers will commit to some of the deepest output cuts in a decade aiming to avert oversupply and bolster prices.

In Saudi, the benchmark index rose 0.8 percent, with Saudi Basic Industries and National Commercial Bank gaining 1.7 percent and 1.5 percent, respectively.

Among other stocks, Sahara International Petrochemical leapt 4.2 percent to become the top gainer on the index. The firm’s board proposed to purchase up to 10 percent of ordinary shares and hold them as treasury shares.

Qassim Cement climbed 4 percent after its board recommended third-quarter cash dividend of 1 riyal per share.

Meanwhile, the Saudi Stock Exchange, Tadawul, said on Friday trading in Aramco’s shares would commence on December 11.

Aramco priced its IPO at 32 riyals ($8.53) per share, the top of its indicative range, the company said in a statement last week, raising $25.6 billion and beating Alibaba Group Holding Ltd’s record $25 billion listing in 2014.

Meanwhile, the Qatari index dropped 0.3 percent, dragged down by a 0.8 percent fall in Qatar National Bank followed by a 0.4 percent decrease in Industries Qatar.

In Dubai, the index edged down 0.1 percent, with Emaar Properties losing 0.5 percent and its unit Emaar Malls shedding 1 percent.

The Abu Dhabi index also inched 0.1 percent lower, extending losses for a third straight session. The United Arab Emirates’ largest lender First Abu Dhabi Bank and developer Aldar Properties declined 0.1 percent and 0.9 percent, respectively.

Source: Reuters