By: Mahmoud Gamal

Mubasher: The GCC stock markets’ investors are turning to blue chips again, in line with the rise of global stocks despite caution regarding oil prices, analysts told Mubasher.

“Blue chips attracted investors this week due to their appealing levels,” analyst Hasan Al Hosni told Mubasher.

Al Hosni noted that the general climate seems positive, alongside the caution that controls some foreign investors regarding global market activities and oil prices, pointing out that the sideways performance may lead trading in the GCC stock market during this week until the Eid Al Adha holiday.  

He stressed that the GCC stock markets are currently suffering from the absence of new incentives for investors and the decline of liquidity to its lowest levels, indicating that the markets’ indices are to complete the correction phase, which is about to come to an end.

Moreover, analyst Ali Al Zahrani told Mubasher that traders in the GCC market, especially foreign traders, started to create new purchasing centres around Saudi Arabian stocks.

Analyst Hammoud Al Shamry advised traders to be patient before investing in the markets until they the oil path is clearer, which suffered after investors turned to the safe haven - namely gold - during the political instability in the US that may affect the global political map.

Translated by: Mai Ezz El-Din