Economy

Gulf Markets Close Mixed After Hamas Proposal Rejected

Gulf Markets Close Mixed After Hamas Proposal Rejected

Gulf stock markets showed mixed performance at the close on Thursday after Israel rejected the Palestinian Islamic Resistance Movement (Hamas) proposal for a ceasefire, while the Saudi index rose for the sixth consecutive session thanks to strong earnings results. The main Saudi index increased by 0.3%, driven by a 1.8% rise in Al Rajhi Bank's shares, while the First Saudi Bank (SAB) gained more than 3% following the announcement of a strong annual net profit increase. Among other gainers, Savola Group's shares jumped over 6% after announcing plans to distribute its entire 34.52% stake in the regional dairy company Almarai to eligible shareholders. This deal will precede a priority rights issuance worth 6 billion riyals ($1.60 billion), which aims to strengthen the company's position, including debt repayment and enabling the distribution of Almarai shares, the largest dairy products company in the Middle East.

The main index of the Dubai Stock Exchange fell 0.1%, impacted by a 2.7% drop in Salik's share price, and the shares of Dubai Electricity and Water Authority fell by 1.6%. The utility company announced an increase in fourth-quarter net profits, while reporting a decline in quarterly profits. In Abu Dhabi, the index rose 0.1%. Meanwhile, oil prices, a key driver for financial markets in the Gulf region, stabilized at just above $79 per barrel, having risen for the third consecutive day on Wednesday, driven by Israel's rejection of Hamas's ceasefire proposal in Gaza. The Qatari index lost 0.3%, affected by a 1.4% drop in the shares of Qatar Industries for Petrochemicals. Outside the Gulf region, the Egyptian main index rose 1.8%, with most of its shares increasing, including Commercial International Bank, which gained 3.7%.

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