The Saudi stock market closed lower on Monday, ending a four-session gain, impacted by the drop in oil prices, while the index in Qatar continued the losses that began in the previous session. Oil prices, a key driver for financial markets in the Gulf, continued to decline amidst investor doubts regarding the latest OPEC+ decision on supply cuts and uncertainties surrounding global fuel demand. Nevertheless, losses remained limited due to the risk of supply disruptions caused by conflicts in the Middle East. Geopolitical concerns came back into focus with renewed fighting in Gaza. The US military announced yesterday that three commercial ships were attacked in international waters in the southern Red Sea.
The Saudi index fell by 0.3%, ending four sessions of gains, as shares of oil giant Aramco dropped by 0.5%. The Qatari index also declined by 0.8%, affected by a 1.8% decrease in shares of Industries Qatar, a petrochemical company. The Qatar Stock Exchange continued its price correction, recording losses for the second day this week. Abdulhadi Al-Labi, Marketing Director at Kama Capital, stated, "The main index may continue to decline following last month's recovery." He added, "The negative performance in the energy markets may continue to harm the market, which is experiencing declines in most individual stocks."
