Most Gulf markets fall on geopolitics, weak oil
Dubai, Abu Dhabi, Bahrain and Oman markets fall
Saudi, Qatar markets rise
By Ateeq Shariff
Oct 1 (Reuters) -Most stock markets in the Gulf ended lower on Tuesday amid rising geopolitical tensions in the region, while retreating oil prices added to the pressure.
Israel said commando and paratroop units launched raids into Lebanon on Tuesday as part of a "limited" ground incursion, while Iran-backed Hezbollah said it had fired a barrage of missiles into Israel, including at its spy agency near Tel Aviv.
The raids by Israeli troops in southern Lebanon that began overnight went only a short distance over the border, an Israeli security official said, adding that no direct clashes with Hezbollah fighters were reported.
Hezbollah's media relations chief Mohammad Afif denied Israel's claim its forces had entered Lebanon.
Dubai's main share index .DFMGI dropped 0.6%, weighed down by a 2.3% fall in blue-chip developer Emaar Properties EMAR.DU and a 2% decline in utility Dubai Electricity and Water Authority DEWAA.DU.
In Abu Dhabi, the index .FTFADGI was down 0.2%.
Oil prices - a catalyst for the Gulf's financial markets - edged lower as a stronger supply outlook and tepid global demand growth outweighed fears over escalating conflict in the Middle East and its impact on crude exports from the region.
Saudi Arabia's benchmark index .TASI closed 0.2% higher, with aluminium products manufacturer Al Taiseer Group 4143.SE gaining 0.2%.
Meanwhile, Federal Reserve Chair Jerome Powell indicated on Monday the U.S. central bank would likely stick with quarter-percentage-point interest rate cuts moving forward and was not "in a hurry" after new data boosted confidence in economic growth and consumer spending.
The Qatari index .QSI added 0.2%, helped by a 0.3% rise in the Gulf's biggest lender Qatar National Bank QNBK.QA.
Outside the Gulf, Egypt's blue-chip index .EGX30 advanced 0.9%, with Commercial International Bank COMI.CA finishing 2.2% higher.
A forum set up by Egypt's president began discussing on Monday a possible shift in the country's subsidy programme towards paying cash directly instead of offering food products at reduced prices, a system many economists say could be more efficient.
SAUDI ARABIA | .TASI gained 0.2% to 12,254 |
ABU DHABI | .FTFADGI down 0.2% to 9,406 |
DUBAI | .DFMGI dropped 0.6% to 4,477 |
QATAR | .QSI added 0.2% to 10,630 |
EGYPT | .EGX30 rose 0.9% to 31,866 |
BAHRAIN | .BAX eased 0.2% to 2,009 |
OMAN | .MSX30 was down 0.3% to 4,696 |
KUWAIT | .BKP rose 0.2% to 7,725 |
Reporting by Ateeq Shariff in Bengaluru
Editing by Mark Potter
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