Gulf Stock Exchanges Rise on U.S.-Iranian Cooling Hopes

Gulf stock exchanges made notable gains at the close of Monday's trading, as investor sentiment soared on growing hopes for a diplomatic deal between the United States and Iran aimed at easing regional tensions. The Dubai Stock Exchange topped the gains with a 1.1% rise in its main index, supported by the rise of Emaar Properties 2.6% and Parkin Car Garage Services 3.6%. While the Abu Dhabi Stock Exchange recorded a gain of 0.5% led by ADNOC Gas, which rose 2.4%. Milad Azar, a market analyst at XTP Middle East and North Africa, pointed to improved sentiment in the Gulf stock exchanges with the prospects of a diplomatic agreement that could lead to the reopening of the strategic Strait of Hormuz. He stressed the need for investors to follow up on future developments in the negotiations. The Bahrain and Oman bourses saw similar gains of 0.9%, while the Kuwait bourse tumbled 0.7%. A decline of 1.1% after strong gains in the previous session of more than 3%, affected by the decline in the share of Qatar Industries 2.7%. US President Donald Trump announced that Washington and Tehran have "largely finished negotiating" an agreement to end the three-month conflict and reopen the vital Strait of Hormuz, which transports a fifth of global oil and gas shipments. However, the two sides still face disagreements on multiple issues. Oil prices fell as contracts fell Brent crude futures are at $6.01 to $97.53 per barrel. The Saudi stock exchange also remained closed in preparation for the Eid al-Adha holiday, while the Egyptian index fell 0.4%.