Mideast Stocks: Saudi bourse extends rebound

Mideast Stocks: Saudi bourse extends rebound

Saudi Arabia's stock market extended a rebound on Wednesday, after it hit a 9-month low earlier this week on economic growth worries, while the Dubai bourse ended lower.

Central banks around the world have jacked up interest rates in the last week and said they would do whatever it took to fight red-hot inflation.

The benchmark index in Saudi Arabia advanced 1.4%, led by a 4.2% jump in Riyad Bank and a 0.6% increase in Retal Urban Development Co. The kingdom's bourse rebounded with energy prices potentially moving higher under current conditions, said Farah Mourad, Senior Market Analyst of XTB MENA. "The market could see some improvements after hitting a new low this week." Among other gainers, oil behemoth Saudi Aramco finished 1.3% higher.

Crude prices, a key factor for the Gulf's financial markets, were broadly stable as pressure from a strengthening dollar and crude storage builds was offset by U.S. production cuts caused by Hurricane Ian.

Dubai's main share index dropped 0.9%, hit by a 1.5% fall in top lender Emirates NBD. The Dubai market was volatile while traders considered the uncertainty in global markets, according to Mourad.

In Abu Dhabi, the index added 0.4%, snapping five sessions of losses, helped by a 2.4%