Oil Price Stabilization Boosts Gulf Arabian Stocks

Share price indices from Riyadh to Dubai ended a volatile week buoyant on Thursday as an oil output freeze at levels from January agreed between Saudi Arabia, Russia and Venezuela on Wednesday supported the price of oil.

The Saudi Arabian Tadawul All-Share Index finished 1.42 percent higher at 5,884.16 points amid a bullish advance-decline ratio of 143 to 19.

Market bellwether share SABIC, the biggest producer of petrochemicals in the world, edged up by 1.95 percent to hit a five-week high at 70.50 Saudi riyal (USD 18.80).

Investors’ sentiment in the Gulf Arabian region was boosted after the price of oil stabilized around USD 31 per barrel (159 liters).

United Arab Emirates’ (UAE) energy minister told UAE state news agency WAM on Thursday that “we believe freezing production levels by members of OPEC and Russia will have a positive impact on balancing the future demand based on the current oversupply.”

In the UAE, the Dubai Financial Market (DFM) index advanced by 1.17 percent, while the Abu Dhabi gauge surged by 1.55 percent. Shuaa Capital, the oldest UAE investment bank, jumped by 5.71 percent.

The FTSE NASDAQ Dubai UAE 20 Index which measures the performance of blue chips listed on the Nasdaq Dubai, the DFM and the ADX, closed at 2.10 percent higher at 2,954.92 points. In Doha, the Qatar Exchange 20 Index surged by 1.56 percent. (PNA/Xinhua) JBP/EBP