SAUDI KAYAN PETROCHEMICAL CO CLOSES 7.5 PCT LOWER, DRAGS ON INDEX
1230 GMT
Saudi Kayan Petrochemical Co weighs on Saudi's benchmark, while bank losses widened during the trading session, as the absence of any positive catalysts and negative sentiment on banks weighed on the index.
Saudi Kayan falls 7.5 percent.
Banque Saudi Fransi and Samba Financial Group retreat 1.9 and 2.8 percent.
The index ends 1.5 percent lower at 6,255 points.
1000 GMT - Dubai's index gives up some of its early
day gains, but ends higher for the second session in three, helped by banks.
Emirates NBD rises 4 percent and Shuaa Capital adds 2.7 percent.
Property stocks also post gains, with Emaar Properties and Deyaar advancing 1.5 and 1.4 percent respectively.
The index climbs 1.2 percent to 2,123 points, retreating from an intraday high of 2,161 points.
In Abu Dhabi, banks and property stocks were also among the strongest gainers, helping the main index climb 0.7 percent to 2,942 points.
Aldar Properties rises 3.6 percent and Sorouh Real Estate adds 3.9 percent.
0900 GMT - Oman's Galfar Engineering ends nearly 8 percent lower after the firm reported a 63.8-percent fall in third
quarter profit, falling short of analysts' estimates.
Galfar weighed on Oman's index, which ends 0.7 percent lower to 6,290 points.
Banks were mixed, as Bank Muscat gains 0.8 percent and National Bank of Oman falls 1.8 percent.
Bahrain's index edges 0.1 percent higher to 1,509 points, while Kuwait's benchmark falls 0.7 percent to 7,280 points.
Qatar's index gains 0.6 percent to 6,991 points. Qatar National Bank and Qatar Commercial Bank advance 0.9 percent and 1.2 percent respectively.
0850 GMT
Egypt's Pioneers Holding jumps more than 9 percent in the first fifteen minutes of trade after it said it would merge with unlisted investment bank Beltone Financial.
Pioneers says it will issue 100 million new shares at a yet-to-be-determined price representing Beltone's total value and giving Beltone a 17 percent stake in the merged company.
'They are going to create the biggest investment bank in Egypt, so it is definitely something positive for investors,' says Hashem Ghoneim from Pyramids Capital.
Pioneers trades at 7.27 pounds.
For more on the Pioneers-Beltone deal, click here .
0800 GMT - Saudi's benchmark edges 0.3 percent lower to 6,334 points, as investors are cautious about fourth
quarter corporate results in the U.S. and domestically.
'In the U.S. the government has helped many companies that risked default, the question is whether fourth-quarter results will be as good as the previous quarter without this support,' says Youssef Kassantini, head of discretionary portfolio management at Rasmala Investment Saudi.
'This is on the mind of day-traders, investors, it explains the unease in the market,' he adds.
'Saudi investors are waiting for fourth-quarter results, especially in the banking sector as they book provisions,' he says.
'Investors are unclear on how to play on the banking sector,' he says.
Samba Financial Group and Riyad Bank fall 1.4 percent and 0.7 percent.
0700 GMT
Qatar's index climbs 1 percent to 7,020 points, as a positive close in the U.S. last week boosts most stocks.
Commercial Bank of Qatar gains 3 percent, one of the strongest gainers, while Qatar Fuel Company sheds 1.6 percent.
'At this point, the odds of a downside break remain high despite the possibility of a short term bounce,' according to a Shuaa Capital investor note.
'We advise to stay out of the market until a low risk entry point is attained.'
Kuwait's benchmark falls 0.3 percent to 7,312 points, while Bahrain's index is unchanged at 1,507 points.
0630 GMT
Markets in Dubai and Abu Dhabi recoup some of last week's losses, with property and banking stocks leading the recovery.
Dubai's benchmark gains 2.3 percent, while Abu Dhabi advances 1.1 percent.
Emaar Properties and Sorouh Real Estate gain 3.4 percent and 5.1 percent respectively.
'There are no real indicators to explain the upward trend, although the positive U.S. close last Friday provides some positive sentiment,' says Ayman el-Saheb, director of operations at Darahem Financial Brokerage.
'We expect mostly sideways trading for the remainder of the week, as we really need a catalyst to start a rally,' he adds.
0610 GMT - Shares in Oman's Galfar Engineering plunge 7.9 percent in early trading after the firm reported a 63.8 percent fall in third
quarter profit, falling short of analysts' estimates.
Al Anwar Ceramic is the second-worst performing stock in Oman, falling 5.7 percent.
Oman's benchmark edges 0.3 percent lower to 6,312 points.
0511 GMT - Middle East stocks are seen trading sideways on Sunday in the absence of major catalysts, tracking a similar end-of
week performance on global markets and a muted performance by Saudi Arabia the day before.
Saudi's index edged 0.1 percent higher on Saturday, with a 0.9-percent rise in Saudi Basic Industries Corp (SABIC) offsetting declines in Samba Financial Group and SABB
'The market should remain range-bound as we can't see any catalysts strong enough to re-rate the market in the short term,' says Ali Khan, managing director and head of brokerage at Arqaam Capital.
'There should be a mixed performance in a narrow trading range -- I don't think the market should move more than 1 to 1.5 percent up or down.
'Saudi was stable and the U.S. closed flat so I would be surprised to see another round of aggressive selling today.'
The Dubai and Abu Dhabi benchmarks suffered their largest weekly declines since late June last week as jitters on global markets sparked a sell-off in regional equities, with analysts saying the predominance of retail investors exaggerated declines.
'The extent of the correction was surprising, but it was just another round of profit-taking -- the consensus view for macro economic growth hasn't deteriorated,' says Khan.
'Given we've had some huge moves from the second to third quarters, it's only logical that when money does come off the table it is more pronounced.'
Oman's Galfar Engineering could face selling pressure after the firm reported a 63.8-percent fall in third-quarter profit, falling short of analysts' estimates.
Kuwait's Zain is likely to trade sideways to down until a proposed acquisition by an Indian-led consortium is resolved, says Arqaam's Khan.
'There's a lack of institutional interest in Zain,' adds Khan.
Zain shares have fallen by more than a quarter since major shareholder Kharafi Group said it had agreed to sell a 46-percent stake in early September. On Thursday, Indian state-run telecom Bharat Sanchar Nigam Ltd (BSNL) said it may open direct negotiations for a stake in Zain if its exclusive talks as part of a consortium fail.
(Reporting by Matt Smith and Nicolas Parasie; Additional reporting by Alastair Sharp in Cairo; Editing by Amran Abocar) Keywords: STOCKS NEWS MIDEAST (matt.smith1@thomsonreuters.com; +971 4 391 8301; Reuters Messaging: matt.smith1@thomsonreuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
1230 GMT
Saudi Kayan Petrochemical Co weighs on Saudi's benchmark, while bank losses widened during the trading session, as the absence of any positive catalysts and negative sentiment on banks weighed on the index.
Saudi Kayan falls 7.5 percent.
Banque Saudi Fransi and Samba Financial Group retreat 1.9 and 2.8 percent.
The index ends 1.5 percent lower at 6,255 points.
1000 GMT - Dubai's index gives up some of its early
day gains, but ends higher for the second session in three, helped by banks.
Emirates NBD rises 4 percent and Shuaa Capital adds 2.7 percent.
Property stocks also post gains, with Emaar Properties and Deyaar advancing 1.5 and 1.4 percent respectively.
The index climbs 1.2 percent to 2,123 points, retreating from an intraday high of 2,161 points.
In Abu Dhabi, banks and property stocks were also among the strongest gainers, helping the main index climb 0.7 percent to 2,942 points.
Aldar Properties rises 3.6 percent and Sorouh Real Estate adds 3.9 percent.
0900 GMT - Oman's Galfar Engineering ends nearly 8 percent lower after the firm reported a 63.8-percent fall in third
quarter profit, falling short of analysts' estimates.
Galfar weighed on Oman's index, which ends 0.7 percent lower to 6,290 points.
Banks were mixed, as Bank Muscat gains 0.8 percent and National Bank of Oman falls 1.8 percent.
Bahrain's index edges 0.1 percent higher to 1,509 points, while Kuwait's benchmark falls 0.7 percent to 7,280 points.
Qatar's index gains 0.6 percent to 6,991 points. Qatar National Bank and Qatar Commercial Bank advance 0.9 percent and 1.2 percent respectively.
0850 GMT
Egypt's Pioneers Holding jumps more than 9 percent in the first fifteen minutes of trade after it said it would merge with unlisted investment bank Beltone Financial.
Pioneers says it will issue 100 million new shares at a yet-to-be-determined price representing Beltone's total value and giving Beltone a 17 percent stake in the merged company.
'They are going to create the biggest investment bank in Egypt, so it is definitely something positive for investors,' says Hashem Ghoneim from Pyramids Capital.
Pioneers trades at 7.27 pounds.
For more on the Pioneers-Beltone deal, click here .
0800 GMT - Saudi's benchmark edges 0.3 percent lower to 6,334 points, as investors are cautious about fourth
quarter corporate results in the U.S. and domestically.
'In the U.S. the government has helped many companies that risked default, the question is whether fourth-quarter results will be as good as the previous quarter without this support,' says Youssef Kassantini, head of discretionary portfolio management at Rasmala Investment Saudi.
'This is on the mind of day-traders, investors, it explains the unease in the market,' he adds.
'Saudi investors are waiting for fourth-quarter results, especially in the banking sector as they book provisions,' he says.
'Investors are unclear on how to play on the banking sector,' he says.
Samba Financial Group and Riyad Bank fall 1.4 percent and 0.7 percent.
0700 GMT
Qatar's index climbs 1 percent to 7,020 points, as a positive close in the U.S. last week boosts most stocks.
Commercial Bank of Qatar gains 3 percent, one of the strongest gainers, while Qatar Fuel Company sheds 1.6 percent.
'At this point, the odds of a downside break remain high despite the possibility of a short term bounce,' according to a Shuaa Capital investor note.
'We advise to stay out of the market until a low risk entry point is attained.'
Kuwait's benchmark falls 0.3 percent to 7,312 points, while Bahrain's index is unchanged at 1,507 points.
0630 GMT
Markets in Dubai and Abu Dhabi recoup some of last week's losses, with property and banking stocks leading the recovery.
Dubai's benchmark gains 2.3 percent, while Abu Dhabi advances 1.1 percent.
Emaar Properties and Sorouh Real Estate gain 3.4 percent and 5.1 percent respectively.
'There are no real indicators to explain the upward trend, although the positive U.S. close last Friday provides some positive sentiment,' says Ayman el-Saheb, director of operations at Darahem Financial Brokerage.
'We expect mostly sideways trading for the remainder of the week, as we really need a catalyst to start a rally,' he adds.
0610 GMT - Shares in Oman's Galfar Engineering plunge 7.9 percent in early trading after the firm reported a 63.8 percent fall in third
quarter profit, falling short of analysts' estimates.
Al Anwar Ceramic is the second-worst performing stock in Oman, falling 5.7 percent.
Oman's benchmark edges 0.3 percent lower to 6,312 points.
0511 GMT - Middle East stocks are seen trading sideways on Sunday in the absence of major catalysts, tracking a similar end-of
week performance on global markets and a muted performance by Saudi Arabia the day before.
Saudi's index edged 0.1 percent higher on Saturday, with a 0.9-percent rise in Saudi Basic Industries Corp (SABIC) offsetting declines in Samba Financial Group and SABB
'The market should remain range-bound as we can't see any catalysts strong enough to re-rate the market in the short term,' says Ali Khan, managing director and head of brokerage at Arqaam Capital.
'There should be a mixed performance in a narrow trading range -- I don't think the market should move more than 1 to 1.5 percent up or down.
'Saudi was stable and the U.S. closed flat so I would be surprised to see another round of aggressive selling today.'
The Dubai and Abu Dhabi benchmarks suffered their largest weekly declines since late June last week as jitters on global markets sparked a sell-off in regional equities, with analysts saying the predominance of retail investors exaggerated declines.
'The extent of the correction was surprising, but it was just another round of profit-taking -- the consensus view for macro economic growth hasn't deteriorated,' says Khan.
'Given we've had some huge moves from the second to third quarters, it's only logical that when money does come off the table it is more pronounced.'
Oman's Galfar Engineering could face selling pressure after the firm reported a 63.8-percent fall in third-quarter profit, falling short of analysts' estimates.
Kuwait's Zain is likely to trade sideways to down until a proposed acquisition by an Indian-led consortium is resolved, says Arqaam's Khan.
'There's a lack of institutional interest in Zain,' adds Khan.
Zain shares have fallen by more than a quarter since major shareholder Kharafi Group said it had agreed to sell a 46-percent stake in early September. On Thursday, Indian state-run telecom Bharat Sanchar Nigam Ltd (BSNL) said it may open direct negotiations for a stake in Zain if its exclusive talks as part of a consortium fail.
(Reporting by Matt Smith and Nicolas Parasie; Additional reporting by Alastair Sharp in Cairo; Editing by Amran Abocar) Keywords: STOCKS NEWS MIDEAST (matt.smith1@thomsonreuters.com; +971 4 391 8301; Reuters Messaging: matt.smith1@thomsonreuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
© 2009 AFX News
