Mubasher: Global monetary news was the region’s main trigger over the past week, according to Al Masah Capital Weekly report.

The Federal Reserve’s decision to keep rates unchanged while hinting of a possible rate hike by year end, in addition to the Bank of Japan’s decision to provide additional stimulus if needed had a positive effect on investors’ sentiment. As a result, early week’s negativity was nullified and the regional markets’ performance was close to unchanged on average.

However, over the weekend oil prices tumbled after a report showing an increase in rig counts by Baker Huges had a negative impact on global markets’ trends with almost all indices heading south.

“A close eye will be kept on OPEC’s meeting on the 28th, with markets expectations that OPEC members aren’t likely to reach a supply deal in Algiers even though Saudi Arabia signalled for the first time in two years that it’s willing to cut production, the statement added.

 “For the coming week, MENA markets are likely to remain volatile mimicking its main mover oil with country specific macro news also possibly playing a role,” Al Masah Capital added.

Egypt ended the week with a surprising decision by the CBE to unexpectedly maintain its rates; such a decision could have negatively affected investors’ sentiments as it indicates that the expected currency devaluation will not be as sooner as was anticipated.