Gulf stocks edge higher after US Fed hikes rates

Stock markets in the Gulf edged up on Thursday after the US Federal Reserve increased interest rates in line with market expectations, while maintaining a gradual approach of tightening in 2017.

Dubai’s main index rallied 1.2 percent to 3,521 points as property stocks surged, following the Fed decision.

Market heavyweight Emaar Properties climbed 2.7 percent to AED 7.49; contractor Drake and Scull jumped 6.5 percent to AED 0.474; and Damac rose 4.4 percent to AED 2.86.

Abu Dhabi’s general index gained 1.1 percent to 4,425 points as blue chip banking and real estate stocks climbed. First Gulf Bank was up 2.4 percent to AED 12.65 and National Bank of Abu Dhabi rose 3.5 percent to AED 10.15.

Among real estate stocks, Aldar Properties was the key gainer, rising 4 percent to AED 2.36.

Elsewhere in the region, Qatar’s QE index rose 0.7 percent to 10,361 points. Qatar National Bank was up 1.6 percent at QAR 145.8 and The Qatari Investors group added 3.7 percent to QAR 62.2.

Kuwait’s price index declined 0.2 percent; and Saudi Arabia’s Tadawul All Share Index was last trading up 1.2 percent.

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