Mideast Stocks: UAE Tracks Global Gains on Trade Optimism; Saudi Index Flat on Earnings, Ex-Dividends

Gulf equities were mixed on Monday, with UAE markets tracking global gains on trade optimism and signs of a China tariff truce, while Saudi stocks were flat amid mixed earnings and several blue-chip stocks trading ex-dividend.

The United States and the European Union on Sunday struck a framework trade agreement, which will impose a 15% import tariff on most EU goods, half the threatened rate.

Meanwhile, senior U.S. and Chinese negotiators will meet in Stockholm later in the day in a bid to extend the tariff truce ahead of an August 12 deadline, avoiding an escalation in duties.

Saudi Arabia's benchmark index was flat in choppy trade as a mixed earnings season and several blue-chip stocks trading ex-dividend partially offset optimism surrounding global trade outlook.

Petrochemical giant Saudi Kayan surged more than 4% as its second-quarter loss halved from a year earlier, while Arabian Cement slid more than 3% as second-quarter profit fell short of expectations.

Banque Saudi Fransi and Arab National Bank dropped 4.1% and 2%, respectively, after their shares began trading ex-dividend.

Dubai's benchmark index gained 0.5% to a 17-1/2 year high, on course to extend its winning streak for a third consecutive session, supported by a 2.5% jump in Emirates NBD Bank.

The Abu Dhabi index was marginally higher. Shares of Americana Restaurants International and marine EPC contractor NMDC climbed more than 1% ahead of earnings.

Qatar's benchmark index eased 0.4%, as traders locked in profits following a recent multi-year rally, with all sectors in the red, led by a 1.5% decline in Qatar Islamic Bank.