Mideast Stocks: Gulf bourses in red on inflation, fuel demand concerns

Mideast Stocks: Gulf bourses in red on inflation, fuel demand concerns

Stock markets in the Gulf ended lower on Monday, in line with global equities as red-hot U.S. inflation reignited worries about even more aggressive Federal Reserve policy tightening, and a COVID-19 warning from Beijing added to concerns about global growth.

Dubai's main share index retreated 2.7%, its biggest one-day fall in a month, dragged down by a 4.9% drop in blue-chip developer Emaar Properties. The main index could see additional price corrections in the short term as expectations remained bearish, said Wael Makarem, senior market strategist at Exness.

In Abu Dhabi, the index lost 1.8%, with the United Arab Emirates' largest lender First Abu Dhabi Bank falling 2.5%. Among other stocks, Dana Gas tumbled 2.8% after the energy firm said that it was in active discussion with the Egyptian government to reach a deal on Block 6 North El Arish Concession.

The Qatari index closed 1.5% lower with almost all the stocks on the index in the red, including the Gulf's biggest lender, Qatar National Bank, losing 2.1%.

According to Makarem, the market could see additional pressures if natural gas prices remain volatile. "In this regard, the country is working on developing production capacity to benefit from current price levels and higher demand from