Middle East stocks were mixed as investors focused on a decline in oil prices amid signs of a stumbling economic recovery from Europe to Asia and a delayed rebound in demand.
Kuwait’s main equity index led losses in the region, falling 0.5% as of 10:12 a.m. local time. Aramco shares also dropped, while the Saudi Tadawul All Share Index traded slightly higher. Gauges in Bahrain and Israel advanced.
Brent crude fell 1.2% on Friday as Europe’s economy unexpectedly lost momentum amid a battle to control a spike in coronavirus cases. Aramco has suspended a deal to build a $10 billion refining and petrochemicals complex in China, according to people familiar with the matter, as it slashes spending to cope with lower oil prices.
Markets in the United Arab Emirates and Oman were closed due to holidays.
MIDDLE EASTERN MARKETS:
Tadawul All Share Index rises 0.2%Aramco drops as much as 0.2%, trimming increase of 1.9% last weekAbdullah Al Othaim rises as much as 2.2% after saying it will pay 3 riyals/share for 1H dividend, 1 riyal higher than last yearIsrael’s TA-35 climbs 0.6%, with Nice, Bank Hapoalim and Elbit Systems boosting the index the mostKamco Invest downgrades Kuwait’s education company Humansoft to neutral from outperform on potential impact of a 20% fee reduction for online classes imposed on private universitiesReduction could affect 2020-2021 revenue, analyst Thomas Mathew writes in a noteHe adds that higher dividend payout and/or growth via enrollment or acquisitions could drive a re-rating for the stock
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