Abu Dhabi index marginally lower; other Gulf bourses hold to gains

Oil fell afresh on Monday, amid doubts that an informal meeting of Opec members next month will lead to a new agreement on production levels.

Arabian Gulf markets were mixed on Sunday, with only Qatar and Dubai registering small gains, as oil fell amid doubts that an informal meeting of Opec members next month will lead to a new agreement on production levels.

“We are still doubtful that a freeze or meaningful change to production levels can be achieved next month,” wrote Edward Bell, a commodities analyst with Emirates NBD, in a research note.

“Iran is still working to get production back to pre-sanctions levels, Nigeria will try to recover the … 500k bpd [barrels per day] of output it has lost owing to militant activity and, importantly, Iraq has revised its oil production policy.”

Brent crude futures, which closed just shy of US$50 per barrel level last week, were trading around $49.21 on Sunday afternoon.

Shares in Saudi Arabia declined in the face of the commodity’s fall. The Tadawul dropped 0.01 per cent, led by Al Rajhi Bank and Maaden.

The Dubai Financial Market General Index closed up 0.1 per cent, with trading volumes about 20 per cent lower than the daily average for the month.

Emaar Properties and Dubai Parks and Resorts were the pick of just eight gainers on the headline index, closing 0.4 per cent and 1.8 per cent higher, with DIB and Emaar Malls leading sell-offs.

In the capital, the Abu Dhabi Securities Exchange General Index finished 0.1 per cent lower at 4,495.13, dragged lower by FGB and United Arab Bank.

The Qatar Exchange led gains across the Arabian Gulf, closing up 0.5 per cent thanks to bluechips Industries Qatar and QNB.

jeverington@thenational.ae

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Published: August 29, 2016 04:00 AM

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