DUBAI: Most Gulf stock markets look set to continue consolidating on Thursday after narrow trade on Wednesday, although Qatar may again outperform as foreign investors buy.
Brent crude oil rose as high as $69.37 a barrel overnight, its highest level since May 2015, which may again encourage buying of Saudi Arabian petrochemical shares; 13 of the sector’s 14 stocks rose on Wednesday.
But MSCI’s broadest index of Asia-Pacific shares outside Japan is down 0.5 percent in a fresh sign that the global equity rally of the past month may be over.
Foreign investors have been buying Qatari stocks for several days ahead of annual dividend announcements, and this trend may not yet have run its course. The Qatari index rose 0.5 percent in active trade on Wednesday as exchange data showed foreign investors accounted for 33.7 percent of buy orders and 21.8 percent of sell orders.
The index, last at 9,048 points, rose on Wednesday above its 200-day average, now at 9,034 points, for the first time since April, before other Arab states imposed their embargo on Qatar – a positive technical sign. There is no significant technical resistance left before the July peak at 9,606 points.
Source: Brecorder.com
