By Ateeq Shariff
Dec 7 (Reuters) - Most stock markets in the Gulf ended
higher on Sunday, buoyed by growing expectations of a U.S.
Federal Reserve interest rate cut next week.
Investors absorbed the latest U.S. inflation data and
adjusted their bets, strengthening expectations for a Federal
Reserve rate cut at the December 9-10 policy meeting.
U.S. consumer spending rose only modestly in September,
following three months of robust growth, pointing to waning
economic momentum late in the third quarter as a sluggish job
market and elevated living costs restrained household demand.
Traders are now assigning an 87% probability, based on CME
Group's FedWatch Tool, to a 25-basis-point rate cut by the
Federal Reserve next week.
Saudi Arabia's benchmark index edged 0.1% higher,
helped by a 2.6% rise in Riyad Bank.
Oil prices rose nearly 1% on Friday to a two-week high,
supported by expectations of a U.S. rate cut next week and
geopolitical risks that could curb supplies from Russia and
Venezuela.
In Qatar, the index, however, eased 0.1%.
Outside the Gulf, Egypt's blue-chip index gained
0.6%, with Beltone Financial Holding advancing 6.9%.
Saudi was up 0.1% 10,631
Arabia
Qatar eased 0.1% to
10,713
Egypt gained 0.3% to
41,762
Bahrain added 0.3% to 2,051
Oman rose 0.9% to
5,916
Kuwait increased 0.3% to
9,500
(Reporting by Ateeq Shariff in Bengaluru, Editing by Louise
Heavens)
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