Gulf markets gain amid increased oil prices
Business
Emaar Properties was down 1.2% while Emirates Central Cooling fell 0.7%
DUBAI (Reuters) - Thursday saw gains across most Gulf markets as oil prices increased in response to indications of a robust economic recovery in China, the world's largest consumer of petroleum.
Crude prices, a major driver of the Gulf's financial markets, increased slightly on Thursday. At 11:45 GMT, Brent crude was up 0.65% to $84.86. According to figures released on Wednesday, manufacturing activity in China increased at the highest rate in more than a decade last month, adding to signs of a recovery in the second-largest economy in the world.
The benchmark index in Saudi Arabia finished the day 0.8% higher, continuing its upward trend. Gains across practically all industries helped the index, with the largest Islamic bank by assets in the world, Al Rajhi Bank, jumping 2.2% and Dr. Sulaiman Al-Habib Medical rising 1.5%.
Oil tycoon Aramco increased by 0.6%.
Aramco has agreed to acquire a small interest in the new powertrain engine firm that Chinese automaker Geely Automobile Holdings and French automaker Renault SA want to establish together. After reporting a more than doubling in annual earnings to 1.54 billion riyals ($410.36 million), shares of ACWA Power increased by 1.6%.
National Shipping Company of Saudi Arabia, one of the winners, gained 1.3% after striking an agreement with the Shareek program to boost the gas transportation industry, valued roughly 1.53 billion riyals ($407.70 million).
The index increased by 0.1% in Abu Dhabi, extending its advances for a third day. Abu Dhabi National Energy's 3.6% increase and Multiply's 2.2% increase both boosted the index. The majority of sectors increased as the Qatari index finished 0.5% higher.
Qatar's industries and the Qatar International Islamic Bank both had increases of 1.1% and 2.2%. Dubai's benchmark index dropped 0.3% as losses in the utilities, real estate, and finance sectors contributed to the decline.
Emaar Properties, a well-known developer, down 1.2%, while Emirates Central Cooling, a provider of cooling services, fell 0.7%. Outside of the Gulf, Egypt's blue-chip index fell 1.6%, erasing session gains and leaving the majority of sectors in the red. Eastern Co. and Commercial International Bank had declines of 2.4% and 4.7%, respectively.
