Gulf Markets Close Mixed Ahead of Powell's Testimony

Gulf stock markets closed mixed on Wednesday ahead of the testimony of Federal Reserve Chairman Jerome Powell, which could provide clues about a potential interest rate cut in June. Traders are looking for indications among U.S. economic data and policymakers' statements to form expectations regarding the timing of the Federal Reserve's start to reducing interest rates. A CME FedWatch tool indicated that markets expect a 68% chance that the U.S. central bank will begin monetary easing in June. Typically, the monetary policy in the six Gulf Cooperation Council countries is guided by the Federal Reserve's actions, as the currencies of these countries are pegged to the dollar.