Category: News

Major stock markets in the Gulf were subdued in early trade on Wednesday as investors remained cautious given the uncertainty over U.S. import tariffs and Federal Reserve Chair Jerome Powell's signal of a patient path for rate cuts.Donald Trump's trade advisers were finalizing plans on Wednesday for the reciprocal tariffs the U.S. president has vowed to impose on every country that charges duties on U.S. imports, ratcheting up fears of a widening global trade war.Saudi Arabia's benchmark index (.TASI) eased 0.3%, hit by a 1.6% fall in petrochemical maker Saudi Basic Industries Corp (2010.SE).Elsewhere, oil giant Saudi Aramco (2222.SE) lost 0.3%.Oil prices - a catalyst for the Gulf's financial markets - edged down as an industry report showed an increase in U.S. crude stockpiles and tariff worries weighed on sentiment, though stronger refining margins limited losses.Dubai's main share index (.DFMGI) dropped 0.5%, weighed down by a 3.8% slide in sharia-compliant Dubai Islamic Bank (DISB.DU), despite reporting a rise in annual profit.In Abu Dhabi, the index (.FTFADGI) edged 0.1% higher, helped by a 0.5% increase in Aldar Properties (ALDAR.AD). The company was set to gain for a fourth consecutive session.On Monday, Aldar reported a 37% year-on-year rise in fourth-quarter profit of…

MSCI added a lone Indian company, carmaker Hyundai Motor India (HYUN.NS), to its Global Standard index late on Tuesday and removed Adani Green Energy (ADNA.NS) as part of its February 2025 index rejig.The change will come into effect on the market's close on February 28.In its previous index reconstitution in November, MSCI had added five domestic companies into the global standard index, lifting India's weightage to nearly 20% in the gauge that tracks emerging markets.The quarterly rebalancing, which was announced overnight, also saw 20 Indian stocks added to MSCI India Domestic Smallcap Index, including Ola Electric Mobility (OLAE.NS), Sundaram Clayton (SUNM.NS) and Zaggle Prepaid Ocean Services (ZAGG.NS), among others.However, 17 stocks were deleted from the MSCI Smallcap index.According to IIFL Capital, the MSCI rejig could lead to a net passive inflow of about $850 million to $1 billion into Indian markets.Private lender IndusInd Bank (INBK.NS), which is already part of the global standard index, saw a weight increase, according to IIFL Capital.While MSCI added and removed one Indian stock from the global standard indexes, it added eight stocks from China and deleted 20 stocks from the world's second-largest economy.Overall, 23 securities will be added and 107 securities deleted from the…

Most stock markets in the Gulf ended higher on Tuesday after a slew of upbeat corporate earnings although there was caution ahead of potential U.S. tariffs, while investors awaited comments from the Federal Reserve Chair.U.S. President Donald Trump on Monday announced plans to impose 25% tariffs on steel and aluminium imports to the U.S., with additional reciprocal tariffs to be made public within days.Dubai's main share index (.DFMGI) advanced 1.4%, buoyed by a 2.9% jump in Emaar Properties (EMAR.DU) and a 2.1% rise in sharia-compliant lender Dubai Islamic Bank (DISB.DU) ahead of its earnings.Elsewhere, Emirates Integrated Telecommunications (DU.DU) climbed 3.8% after the telecom firm reported a higher quarterly profit.In Abu Dhabi, the benchmark index (.FTFADGI) inched 0.1% higher, with Aldar Properties (ALDAR.AD) surging more than 7%, its biggest intraday gain since late-Sept.Aldar reported fourth-quarter profit of 1.9 billion dirhams ($517.30 million), up 37% year-on-year.However, Lulu Retail Holding (LULU.AD) plunged 10%, top loser on the index, following a steep decline in fourth-quarter profit.Saudi Arabia's benchmark index (.TASI) lost 0.3%, ending three sessions of gains, hit by a 1.5% fall in Al Rajhi Bank (1120.SE).Leejam Sports (1830.SE), which posted a lower quarterly profit, slipped 2.4%.Meanwhile, Fed Chair Jerome Powell is set to…

The European Union said it would respond with "firm and proportionate countermeasures" after U.S. President Donald Trump's decision to impose tariffs on all steel and aluminium imports, escalating fears of a trade war.Trump signed proclamations late on Monday raising the U.S. tariff rate on aluminium to 25% from his previous 10% rate and eliminating country exceptions and quota deals as well as hundreds of thousands of product-specific tariff exclusions for both metals.The measures would take effect on March 4, a White House official confirmed. The tariffs will apply to millions of tons of steel and aluminium imports from Canada, Brazil, Mexico, South Korea and other countries that had been entering the U.S. duty free under the carve-outs.The move will simplify tariffs on the metals "so that everyone can understand exactly what it means," Trump told reporters. "It's 25% without exceptions or exemptions. That's all countries, no matter where it comes from, all countries."Trump said he would follow with announcements about reciprocal tariffs on all countries that impose duties on U.S. goods over the next two days, and said he was also looking at tariffs on cars, semiconductors and pharmaceuticals.Asked about threats of retaliation by other countries against his new tariffs,…

Most major stock markets in the Gulf rose in early trade on Tuesday after a slew of upbeat earnings although caution persisted ahead of potential U.S. tariffs, while investors awaited comments from the Federal Reserve Chair.Trump on Monday announced plans to impose 25% tariffs on steel and aluminium imports to the U.S, with additional reciprocal tariffs to be made public on Tuesday or Wednesday.Dubai's main share index (.DFMGI) gained 0.6%, led by a 2.2% advance in Emaar Properties (EMAR.DU) and a 0.8% rise in lender Dubai Islamic Bank (DISB.DU) ahead of its earnings.Among other stocks, Emirates Integrated Telecommunications (DU.DU) jumped 2.5% after the telecom firm reported a higher quarterly profit.In Abu Dhabi, the benchmark index (.FTFADGI) nudged 0.1% higher, with Aldar Properties (ALDAR.AD) advancing 6%, on course third consecutive session of gains.Aldar reported fourth-quarter profit of 1.9 billion dirhams ($517.30 million), up 37% year-on-year.On the other hand, Lulu Retail Holding (LULU.AD) plunged 10%, set for its biggest intraday fall since its listing in November, following a steep decline in fourth-quarter profit.Lulu runs one of the biggest hypermarket chains in the Middle East.Elsewhere, International Holding Co (IHC.AD) was flat in spite of posting a decline in annual profit.The Qatari benchmark index…

The United States will be fuelling inflation with its move to resume tariffs on aluminium and steel imports, European Union trade commissioner Maros Sefcovic told the European Parliament on Tuesday.U.S. President Donald Trump raised tariffs on aluminium and steel to 25% on Monday without exemptions in a bid to revive the flagging American industry, a move that risks sparking a global trade war.Sefcovic said the tariffs were a lose-lose scenario, but the EU remained committed to finding a mutually beneficial solution with the United States as soon as possible.Source: Reuters.com

Dubai-owned ports and logistics company DP World's CEO Sultan Ahmed bin Sulayem said on Tuesday U.S. President Donald Trump expects other markets to be open if the United States is.Trump is looking for fair trade, not free trade, he said during the World Government Summit in Dubai.The U.S. leader substantially raised tariffs on steel and aluminium imports on Monday to a flat 25% in a move he hopes will aid the struggling industries in the United States but which also risks sparking a multi-front trade war.The tariffs will apply to millions of tons of steel and aluminium imports from Canada, Brazil, Mexico, South Korea and other countries.The move will simplify tariffs on the metals "so that everyone can understand exactly what it means", Trump told reporters.Source: Reuters.com

U.S. tariffs are an "evolving story" and it is too early to assess their impact on the world economy, International Monetary Fund Managing Director Kristalina Georgieva said on Tuesday.She told the World Government Summit in Dubai that the world economy appeared remarkably resilient despite a series of unprecedented shocks.U.S. President Donald Trump substantially raised tariffs on steel and aluminum imports on Monday to a flat 25% "without exceptions or exemptions" in a move he hopes will aid the struggling industries in the United States but which also risks sparking a multi-front trade war.Source: Reuters.com

Gold shot to a record high and stocks were subdued on Tuesday as investors braced for further shifts in U.S. trade policy and waited to hear from Federal Reserve Chair Jerome Powell on tariffs and inflation.Trump on Monday raised tariffs on steel and aluminium imports to 25%, pushing up share prices of U.S. steelmakers, and has promised to announce global reciprocal tariffs within days.Yet he also said he was considering an exemption for Australia and that the measures would only take effect from March 4."Markets are assuming that Trump tariffs are a negotiating tactic, therefore they are waiting to see an actual impact from the tariffs," said George Lagarias, chief economist at Forvis Mazars."I think they are waiting for the smoke to clear."Most major European share indexes were hovering around the unchanged mark. The pan-continental STOXX 600 (.STOXX) was down less than 0.1%, while major bourses in London (.FTSE) and Frankfurt (.GDAXI) edged up to touch new records.In Asia, Chinese markets dipped as Beijing's retaliatory duties on U.S. energy and some goods came into effect on Monday. Hong Kong's Hang Seng (.HSI) fell 1.1% after earlier notching a four-month peak. The index has rallied more than 12% in a month…

Global hedge funds have been snapping up Chinese stocks for much of this year, with their buying accelerating in the past week as the emergence of homegrown artificial intelligence startup DeepSeek fueled investor enthusiasm, Goldman Sachs said in a note.Onshore and offshore Chinese equities combined are by far the "most notionally net bought market" on Goldman Sachs' prime brokerage book across the world, the bank said in a note to clients citing data until February 7, seen by Reuters this week.The week between February 3 and 7 recorded the strongest purchase by hedge funds in over four months, the bank said.Bank prime brokerage desks lend to hedge funds and see their trading flows.DeepSeek's breakthrough low-cost AI model has become a catalyst for the revaluation of Chinese assets among global investors that are already worried about the peaking valuation of U.S. stocks.DeepSeek is reversing the narrative of “China is irrelevant on AI and is losing the AI war," said a Hong Kong-based institutional sales director who serves hedge fund clients.Sentiment was supported by Beijing's policy-easing measures and relief that U.S. President Donald Trump's latest 10% additional tariff on Chinese goods was lower than he initially threatened, analysts and investors said.The MSCI…