Saudi Arabia's bourse rallied for a fourth-straight session, hitting a 40-month high with heavyweight stocks supporting the index as local buying momentum continued.

The kingdom's benchmark rose 0.5 percent to 6,940 points, its highest level since October 2008.

Bellwether Saudi Basic Industries Corp (Sabic) rose 1 percent and most petrochemical stocks were also up as gains in oil prices supported.

Brent crude futures held steady near $120 a barrel on Tuesday as the euro zone approved a second bailout package for debt-laden Greece, while a cut in Chinese and European imports of Iranian oil supported prices.

National Industrialization gained 1 percent and Saudi Kayan Petrochemical climbed 0.6 percent.
Banks also gained with regional heavyweight Al Rajhi Bank rising 1 percent.

Elsewhere in the Gulf, Oman's index ended 0.2 percent lower at 5,667 points, while Kuwait's benchmark slipped 0.4 percent to 6,093 points, down from Monday's seven-month closing high.

UAE markets were mixed as telecoms operator Etisalat lifted Abu Dhabi's index to a 20-week high, while profit-taking extended Dubai's decline.  - Reuters