After U.S. economic data showed an improving inflation landscape, Saudi Arabia’s stock market ended higher on Sunday, snapping a four-session losing streak. However, the Egyptian bourse eased after domestic prices increased. In June, prices in the United States moderately increased, indicating an improving inflation environment that places the Federal Reserve in a position to begin cutting interest rates in September.
Since July, the Fed has held its benchmark overnight interest rate at 5.25 percent to 5.50 percent. Since 2022, it has increased its policy rate by 525 basis points. Because the majority of regional currencies are pinned to the U.S. dollar, monetary policy in the six-member Gulf Cooperation Council (GCC) is typically influenced by decisions made by the Fed.
The benchmark index for Saudi Arabia (. TASI), opens a new tab, and Al Taiseer Group, a manufacturer of aluminum products, advanced 1.2%. SE), rising 3.5%, and Al Rajhi Bank (1120. SE), a 2.8% increase in new tab openings. In Qatar, the list (. QSI) gained 0.4 percent, and petrochemical manufacturer Industries Qatar (IQCD.QA) gained 0.8 percent.
Egypt’s blue-chip index (outside the Gulf) EGX30), – which exchanged after a meeting’s break – lost 0.2%, hit by a 1.5% fall in Talaat Mostafa Gathering (TMGH.CA). The official gazette reported that Egypt raised the prices of a wide range of fuel products on Thursday. This occurred four days before the International Monetary Fund (IMF) conducted its expanded $8 billion loan program for Egypt for the third time.
