Middle Eastern markets showed a mixed start today as investors weighed regional geopolitical developments against broader global economic trends. While some indices edged higher on strong commodity prices, others dipped due to lingering uncertainty over interest rate policies and regional tensions.
GCC markets reflect cautious optimism
Markets in the Gulf Cooperation Council (GCC) region opened with modest gains, buoyed by stable oil prices. Saudi Arabia’s Tadawul rose 0.3%, supported by energy and banking stocks, while the Dubai Financial Market gained 0.2% on renewed real estate sector interest. However, Qatar’s QE Index slipped 0.1% as profit-taking emerged after recent rallies.
Egypt’s EGX30 faces pressure
Egypt’s EGX30 dropped 0.5% in early trading, extending losses from the previous session. Analysts attribute the decline to foreign investor caution amid currency volatility and delayed IMF loan negotiations. Banking stocks were particularly weak, dragging the index lower.
Regional investors eye Fed policy signals
Market participants across the Middle East are closely monitoring upcoming US Federal Reserve communications for clues on interest rate trajectories. Higher-for-longer rate expectations have recently dampened risk appetite in emerging markets, including the Arab region.
Commodity-linked stocks outperform
Shares in energy and materials sectors outperformed as Brent crude held above USD 85 per barrel. Saudi Aramco shares edged up 0.4%, while UAE’s ADNOC Distribution gained 0.6%. Mining stocks in Oman and Morocco also saw early buying interest.
Geopolitical tensions remain a concern
While not directly impacting today’s opening prices, analysts note that ongoing regional conflicts continue to pose a latent risk to market stability. Some investors are maintaining defensive positions until clearer signals emerge on diplomatic fronts.
Market movers and shakers
Among individual stocks, Emirates NBD rose 1.1% after announcing a new digital banking initiative, while Kuwait’s Zain Group fell 1.2% following a broker downgrade. In North Africa, Tunisia’s BIAT bank jumped 2.3% on strong earnings projections.
Looking ahead
Traders anticipate lighter volumes in afternoon sessions as the region approaches the weekend. All eyes remain on upcoming economic data releases from major economies that could influence near-term market direction.
REFH – Newshub, 14 August 2025
