Mideast Stocks: Saudi stocks slip on weaker oil prices as Qatar consolidates gains

Mideast Stocks: Saudi stocks slip on weaker oil prices as Qatar consolidates gains

Saudi Arabia's stock market ended slightly lower on Sunday in response to Friday's fall in oil prices, while the Qatari index inched higher to notch up a third consecutive session of gains.

Oil prices, a key catalyst for the Gulf's financial markets, had dropped around 2% on expectations that supply disruptions in the U.S. Gulf of Mexico would be short-term, while recession fears clouded the demand outlook.

Saudi Arabia's benchmark index eased 0.1%, hit by a 1.2% fall in Riyad Bank and a 0.7% slip in Saudi British Bank.

Saudi Aramco shares closed flat, despite the state oil giant reporting a steep rise in quarterly profit.

Aramco on Sunday recorded its highest quarterly profit since going public in 2019, boosted by higher oil prices and refining margins.

Crude prices have soared in 2022 to their highest since 2008, climbing above $139 a barrel in March after the United States and Europe imposed sanctions on Russia over its invasion of Ukraine.

Prices have since eased to below $100 a barrel as soaring inflation and higher interest rates raise fears of a recession that would erode demand.

Net profit increased 90% to 181.64 billion riyals ($48 billion) for the quarter to June 30 from 95.47 billion riyals a year