Mideast Stocks: Oil Lifts Saudi Bourse; Egypt Tumbles on Regional Tensions

 Gulf markets ended mixed on Sunday as geopolitical tensions weighed. Saudi Arabia was lifted by higher oil prices, while Qatar fell to a six-year low and Egypt slipped as it was drawn further into the Middle East turmoil.

Saudi Arabia's benchmark index <.TASI> rose 0.8%, led by a 2.1% rise in oil behemoth Saudi Aramco <2222.SE>.

Oil prices supported the move. On Friday, Brent crude futures <LCOc1> settled up $3.94, or 3.7%, higher at $109.86, their highest since May 19. Traders feared that rising tensions in the Middle East could further tighten supply. They were also assessing how much diesel Russia could supply to the global market. [O/R]

In Qatar, the index <.QSI> fell 2% to 8,634, its lowest close since April 2020. Petrochemical maker Industries Qatar <IQCD.QA> declined 4.3%, and sharia-compliant lender Qatar Islamic Bank <QISB.QA> shed 2.6%.

On the diplomatic front, Iranian Foreign Minister Abbas Araqchi told Iranian media on Sunday that Tehran's offer to the United States to reopen the Strait of Hormuz within seven days was still on the table. 

Outside the Gulf, Egypt's blue-chip index <.EGX30> declined 2.6%, its biggest intraday fall since February.

The Egyptian presidency said Cairo is ready to give Saudi Arabia the support it needs to defend its security and stability. Yemen's Iran-aligned Houthis have intensified their attacks on the world's largest oil exporter.

Saudi Arabia<.TASI> advanced 0.8% to 10,190

Qatar<.QSI> retreated 2% to 8,634

Egypt<.EGX30> declined 2.6% to 50,896

Bahrain<.BAX> dropped 0.5% to 1,899

Oman<.MSX30> eased 0.3% to 7,656

Kuwait<.BKP> fell 0.2% to 8,871