Blue chip banks help push Gulf stocks higher

Stock markets in the Gulf edged higher on Thursday in line with global equities, which rallied after US Federal Reserve chairperson Janet Yellen comments yesterday led to expectations of a slower pace of interest rate hikes.

“Second quarter earnings are also supporting the overall build-up in optimism across the region, especially in the banking sector,” Al Masah Capital said in a report.

Abu Dhabi’s general index soared 2.5 percent to 4,518 points as First Abu Dhabi Bank jumped nearly 4 percent to AED 10.55. Abu Dhabi Commercial Bank gained 2.1 percent to reach AED 7.15.

The main index was also supported by telecom giant Etisalat, which rose 2.5 percent to AED 18.2.

In Dubai, the benchmark index added 1.2 percent to end the week at 3,537 points. Shariah-compliant lender Dubai Islamic Bank was up 0.5 percent at AED 5.75, while heavyweight developer Emaar Properties added 1.2 percent to AED 7.95.

Elsewhere, Qatar’s QE index rose 2 percent to close at 9,470 points, as Qatar National Bank gained 4.2 percent to reach QAR 136.7. The blue chip lender has posted a 7 percent year-on-year increase in H1 2017 net profit.

In Saudi Arabia, the Tadawul All Share Index was trading higher by 0.5 percent. 

Write to Nadeshda Zareen at nadeshda.zareen@argaamplus.com