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Mideast Markets Are Mixed as Trade Remains in Focus: Inside EM

Filipe Pacheco
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Mideast Markets Are Mixed as Trade Remains in Focus: Inside EM

(Bloomberg) -- Equity markets in the Middle East were mixed in the first session of September as investors kept their focus on developments in the trade war between China and the U.S.

President Donald Trump’s administration slapped tariffs on roughly $110 billion in Chinese imports on Sunday and China retaliated, marking the latest escalation in a trade war that’s inflicting damage across the world economy. Most equity markets in the Middle East retreated last week amid escalating tensions, as several economies in the region including Saudi Arabia have the Asian country as their biggest trading partner.

“The Chinese economy has shown clear signs of slowing due to the trade war, and there has been collateral damage,” Stephen Stanley, chief economist at Amherst Pierpont Securities, wrote in a note.

MIDDLE EASTERN MARKETS:

Saudi Arabia’s Tadawul All Share Index lost 1.3% in Riyadh, with Al Rajhi Bank retreating 2.6% and pressuring the indexIndex dropped 5% last week, extending decline in August to 8.2% READ: Saudi Arabia Creates New Ministry, Shrinking Falih’s PortfolioAbu Dhabi’s ADX General Index fell 0.9%, while peer in Dubai ended little changed and gauges in Doha and Cairo climbed as much as 0.7% First Abu Dhabi Bank finishes 1.3% lower and contributes the most to the decrease in Abu Dhabi Kuwait’s gauge rises as much as 0.7%, boosted by lenders Ahli United Bank and Kuwait Finance House gain 2.1% and 0.3%, respectively, after AUB said that due diligence for a merger with KFH has been completedStock markets in Oman and Bahrain are closed due to a local holiday MORE: U.S. Sanctions World’s Most-Watched Tanker as It Seeks a Port

To contact the reporter on this story: Filipe Pacheco in Dubai at fpacheco4@bloomberg.net

To contact the editors responsible for this story: Celeste Perri at cperri@bloomberg.net, James Amott, Michael Winfrey

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