MIDEAST STOCKS-Markets may catch up with global rally – Reuters


DUBAI Nov 23 (Reuters) – Middle East stock markets may rise
on Sunday in line with end-of-week gains in global equities,
which rallied after China made a surprise interest rate cut and
the European Central Bank indicated it would step up asset
purchases.

Brent crude rose above $80 per barrel and markets in
Asia, Europe and the United States posted gains. Wall Street’s
Dow Jones industrial average and the S&P 500 ended
at new record highs.

China is a major market for Gulf petrochemicals firms such
as Saudi Basic Industries (SABIC) and stronger oil
prices could alleviate fears of government spending cuts, which
have been one of the main reasons for recent equity sell-offs in
the region.

On Thursday, Middle East most markets edged up, but activity
focused on stocks that usually see little trading and investors
stayed away from many blue chips.

In Dubai, some of investors’ money may be tied up in the
$689 million initial public offer of Dubai Parks and Resorts,
part of the government-owned Meraas investment group which plans
to build a $2.9 billion amusement park complex in the emirate.

The company said on Thursday the institutional tranche,
which accounted for 60 percent of the total offer, had been
fully subscribed.

Logistics firm Aramex may attract investors’
attention after the company said on Sunday its board would
discuss new acquisition opportunities at a meeting on Monday.

(Reporting by Olzhas Auyezov; Editing by Matt Smith)

MIDEAST STOCKS-Markets may catch up with global rally – Reuters}

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