GCC bourses likely to rise on oil prices – Analysts

GCC bourses likely to rise on oil prices – Analysts
Traders at Boursa Kuwait

By: Mahmoud Gamal

Mubasher: Most GCC bourses are expected to continue their uptrend on Sunday, amid the rise of oil prices to reassuring levels and disclosures of good first-half financials, analysts told Mubasher.

Higher oil prices will push the GCC markets to see a sideways-to-bullish performance on Sunday and Monday, capital market analyst Osama Raslan said, adding that oil producing countries’ adherence to the oil output-cutting agreement will further push the prices higher.

Officials from oil producing nations, including Russia and Saudi Arabia, will meet in Abu Dhabi on Monday and Tuesday to figure out how to improve compliance with the deal.

The markets saw strong purchasing power following the announcement of some good H1 results, Raslan noted.

Companies’ H1 financials and dividends strongly supported the markets in the past period, capital market analyst Mohamed Al Saeed said.

Stability of the Saudi Stock Exchange (Tadawul) above 7,000 will push it higher to 7,200 points, Saeed noted.

If the Dubai Financial Market (DFM) managed to reach 3,670 points, it will continue its rise to 3,800-4,000 points while maintaining its level above its support at 3,500 points, Saeed concluded.

​Translated by: Julian Nabil

Source: Mubasher Exclusive