Wednesday 19 June 2024

Gulf bourse weak as Egypt awaits poll results

Dubai, June 24, 2012

Gulf bourses have mixed cues on Sunday with global markets recouping losses on Friday, amid lingering caution on the outlook, but Saudi Arabia's exchange experienced a sell-off the previous day.

Oil bounced from 18-month lows on Friday as investors shifted their focus to efforts to resolve Europe's debt crisis, while U.S. stocks rebounded from the second-worst decline of the year.

Saudi Arabia's index lost 0.9 per cent on Saturday as investors reacted to declines in oil prices last week.

Trading is likely to be muted as company news is thin and many investors are away from the market for the summer.

'We're very much dependant on how the markets internationally react and we're correlated to commodity prices,' said Marwan Shurrab, vice-president and chief trader at Gulfmena Investments.

'Expect downside on high-beta retail stocks, with bluechips holding flat until clarity on other regional markets opening later in the day,' Shurrab added.

In Egypt, election results are expected on Sunday where Islamist Mohamed Morsy or Ahmed Shafik, a former air force commander and Mubarak ally, will be named president.

Elsewhere, Kuwaiti members of parliament have called for a 'full parliamentary system', local media said on Friday, raising the stakes in a standoff with the government dominated by the ruling al-Sabah family.

On Thursday, Kuwait's bourse fell slightly after a court ruling complicated the slow-burn political crisis by dissolving the parliament elected earlier this year and reinstating the previous assembly.-Reuters

Tags: Egypt | stocks | results | Election | Gulf bourse |

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