Banking shares bolster most Gulf markets

Banking shares bolster most Gulf markets

Major stock markets in the Gulf ended higher yesterday, largely driven by gains in financial companies and led by Saudi Arabia. Saudi Arabia’s benchmark index rose 0.3%, with Al Rajhi Bank and petrochemical maker Saudi Basic Industries Corp both gaining 0.7%. Shares of financial and energy companies in the Gulf have both benefited from recent gains in oil prices. Elsewhere, Saudi Arabian supermarket group BinDawood Holding finished 0.4% higher despite an almost 50% decline in second-quarter net profit and on expectations that the decline in profit will be temporary. In the second quarter of last year the company “benefited enormously from pantry-buying in response to lockdowns and the lead-up to the VAT (value-added tax) hike which came into effect from 1 July 2020,” the company’s CEO said in a statement. Dubai’s main share index reversed early losses to close 0.1% higher, supported by a 5.5% jump in Amanat Holding after the investment firm posted a net profit of 203.8 million dirhams ($55.49 m) compared to a loss of 5.2 m dirhams a year ago. Among other gainers, DAMAC Properties rose 0.8% after narrowing second-quarter net losses. However, the index’s gains were limited by losses at National Central Cooling Co, which