Mideast Stocks: Oil prices, solid earnings boost major Gulf markets; Abu Dhabi retreats

Mideast Stocks: Oil prices, solid earnings boost major Gulf markets; Abu Dhabi retreats

Most major Gulf stock markets ended higher on Thursday buoyed by rising oil prices and solid corporate earnings, but Abu Dhabi bucked the trend to close lower.

Oil prices, a key catalyst for the Gulf's financial markets, rose more than $2 a barrel on Thursday, extending gains from the previous session, buoyed by improved risk appetite among investors as lower crude inventories and a rebound in gasoline demand in the United States supported prices.

Meanwhile, most of the Gulf central banks lifted their main interest rates by three quarters of a percentage point on Wednesday, moving with the U.S. Federal Reserve as their currencies are pegged to the dollar.

In Dubai, the main share index advanced 1.3%, bolstered by a 3.9% surge in Dubai's biggest lender Emirates NBD , after posting a 42% jump in second-quarter net profit, boosted by higher income and lower impairments.

Dubai stock market continued to see improvements thanks to the course of monetary policy and strong earnings from local banks like Emirates NBD and EIB, said Fadi Reyad, market analyst at CAPEX.com MENA.

Among other stocks, Real estate developer Deyaar Development was also up 3.1%, after posting a more than 300% jump in its second-quarter net profit to 32.7 million