Gulf may move sideways, few positive factors

August 24, 2016 10:23 am

Blurred stock market quotes from a computer screen. (Image: Alamy)

Gulf stock markets may move sideways on Wednesday with few positive factors to spur buying.

Most major indexes in the region closed well off their lows on Tuesday as blue chips were bought, suggesting the slide of the past several days might be ending. The Saudi Arabian index , last at 6,096 points, tested and held minor technical support on the April low of 6,066 points.

But there is little positive domestic or international news. Asian equity markets are slightly lower early on Wednesday and a rally of oil prices fizzled out, with Brent crude now at $49.41 a barrel.

The Saudi index faces technical resistance on its early August low of 6,226 points; its break below that level earlier this week turned the market medium-term bearish.


By Reuters
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