(Bloomberg) — Most Middle Eastern markets fell, while Israeli shares drifted as stocks in the region caught up with a rout in the U.S. at the end of last week that spilled over to shares in developed and emerging markets.
Benchmarks in the United Arab Emirates, Saudi Arabia, Qatar, Kuwait and Egypt declined. In Israel, the TA-35 reversed a sharp drop at the open to climb 0.2% as of 3:38 p.m. in Tel Aviv. The country’s interior minister said the government will meet later this week to decide on a general lockdown following a recent surge in coronavirus cases.
Emerging-market stocks posted the biggest weekly drop since April with a sell-off on Wall Street adding to rising frictions between the U.S. and China. The Nasdaq 100 lost 6.4% in the last two days of the week, when most markets in the Middle East were closed. Brent crude also dropped, with futures contracts ending at the lowest since July.
“Going forward, global equities might witness increased volatility as investors will continue to take some profits off the table on the back of stretched valuations,” analysts at Allied Investment Partners wrote in a note.
| HIGHLIGHTS |
|---|
|
|
|
MIDDLE EASTERN MARKETS:
- The Tadawul All Share Index fell 0.3% in Riyadh
- Saudi Arabia cut pricing for oil sales to Asia and to the U.S. for October shipments, a sign the exporter may see fuel demand wavering
- Brent crude declined 5.3% to $42.66/barrel last week, the biggest weekly drop since June
- Dubai’s DFM General Index declined 1.1%, the first drop in four sessions
- Emaar Properties -2%; Emirates NBD -0.9%; Du -1.9%
- The chief executive officers of Israeli lenders Bank Hapoalim and Bank Leumi will join a business delegation to the United Arab Emirates in mid-September
- Bank Hapoalim +1.5%; Bank Leumi +1.7%
- READ: Israel’s Two Biggest Banks Sending Delegations to UAE
- Gauges in Egypt and Qatar fell 1% and 1.2%, respectively
