Oct 22 (Reuters) – Stock markets in the Gulf ended lower on Tuesday as geopolitical tension gripped the region and corporate earnings failed to lift investor sentiment.
Lebanon’s Hezbollah movement said on Tuesday there would be no negotiations while fighting continued with Israel, and claimed sole responsibility for a drone attack on Israeli Prime Minister Benjamin Netanyahu’s holiday home.
U.S. Secretary of State Antony Blinken arrived in Israel on Tuesday for meetings with Israeli leaders, the first stop of a wider Middle East tour to launch another push for an elusive ceasefire.
Saudi Arabia’s benchmark index (.TASI), opens new tab dropped 0.4%, hit by a 1.1% fall in ACWA Power Company (2082.SE), opens new tab and a 1.8% decrease in Middle East Pharmaceutical Industries (4016.SE), opens new tab.
Elsewhere, oil giant Saudi National Bank (1180.SE), opens new tab edged 0.1% lower, despite reporting a rise in third quarter net profit.
The International Monetary Fund lowered its GDP growth forecast for Saudi Arabia for 2024 to 1.5% and estimated growth would accelerate to 4.6% next year in its latest World Economic Outlook Report released on Tuesday.
The IMF projects oil prices will rise by 0.9% in 2024 to about $81 a barrel. It has previously said Saudi Arabia needs prices at close to $100 per barrel to balance its budget.
Dubai’s main share index (.DFMGI), opens new tab eased 0.2%, with leading lender Emirates NBD (ENBD.DU), opens new tab losing 1.3%.
In Abu Dhabi, the index (.FTFADGI), opens new tab fell 0.3%.
The Qatari benchmark (.QSI), opens new tab lost 0.3%, as Qatar Islamic Bank (QISB.QA), opens new tab declined 1.7%.
However, Doha Bank (DOBK.QA), opens new tab gained 0.8%, following a rise in nine-month net profit.
Outside the Gulf, Egypt’s blue-chip index (.EGX30), opens new tab finished 0.1% lower, weighed down by a 9.2% slide in Abu Qir Fertilizers (ABUK.CA), opens new tab.
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Reporting by Ateeq Shariff in Bengaluru; editing by Barbara Lewis
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