Mahmoud Gamal – Mubasher: Three Arab stock exchanges, led by the Egyptian market, rose during weekly trading, ignoring the escalation of geopolitical events in the Middle East region with the outbreak of war in Palestine once again with Israel.
At the end of this week’s trading, the Egyptian Stock Exchange ignored the wave of losses that affected most of the region’s markets, as the EGX 30 index managed to rise by 0.64% to the level of 20,002 points due to a significant increase in foreign purchases. While the EGX 70 Equal Weights Index for small and medium-sized companies declined by 0.77% to the level of 3,706 points.
On the Muscat Stock Exchange, the main index rose in weekly trading by 1.08 percent, with the Oman Cable Industry stock rising by 9.8 percent, and Voltamp Energy stock rising by 9.57 percent.
In Qatar, the Doha Capital Market Index was in line with the rise in oil prices, which was supported by US sanctions on Iranian entities as a result of geopolitical events in the region, in addition to good expectations for business results in the third quarter of this year, as it rose by 0.57 percent, supported by the positive performance of the banking, financial services and real estate sectors.
Since last Saturday and until today, Friday, the escalation has continued in the Gaza region in Palestine between the Palestinian Hamas movement and the Israeli forces after Hamas fired thousands of rockets from the Gaza Strip at Israel and its forces stormed Israeli settlements and captured a large number of soldiers and civilians.
On the other hand, Israeli military attacks in the Gaza Strip escalated, and the Palestinian Ministry of Health announced yesterday, Thursday, that the death toll from the comprehensive aggression against the Palestinian people in the Gaza Strip and the West Bank had risen to 1,448 martyrs and 6,868 injured.
One of the most prominent markets affected by the events was the Saudi market, where the main “TASI” index recorded its lowest daily close in more than 6 months, with a weekly decline of 1.66 percent. The first Kuwaiti market index also fell, which recorded its lowest daily close in more than two years, with weekly losses of 2.20. percent with the decline in the real estate and banking sectors.
As the closing of the last weekly sessions approached, the indices of the Dubai and Abu Dhabi stock exchanges fell strongly, as the Dubai Stock Exchange index abandoned the level of 4,000 points and the Abu Dhabi Market index declined by more than 1 percent.
Analysts told “Mubasher Info” that the conditions in the markets during next week’s trading will remain under any development related to the geopolitical events that escalated at the beginning of this week, indicating that there are good stocks for investors in the markets currently in the stock markets, especially in the region.
Aaron Leslie John, chief market analyst at Century Financial, confirmed that the continued geopolitical turmoil, in addition to the rise in oil prices amid the impact of global supplies and increased demand, are factors that provide a unique opportunity for some stocks that are ready to benefit from this, namely the stocks of oil and gas companies and oil field services, as they are likely to… These entities are seeing significant increases in profits.
Raed Diab, Vice President of the Investment Research Department at Kamco Investment Company, indicated that the stocks of the petrochemical and oil sectors will be the biggest beneficiaries of the rise in oil prices, which benefit from the impact of the recent geopolitical situation in the Gaza Strip and the commitment of OPEC and its allies to oil cuts, noting that if the area expands The war has affected several countries. This may give additional impetus to prices and will of course contribute to a rise in energy stocks.
In turn, economic expert Mohamed Karam confirmed to “Mubasher Info” that one of the best solutions for investors in the stock markets, given the current blurry scene in the region, is to invest in shares of the energy, defense, and transportation sectors.
As it is one of the sectors that most benefits from geopolitical events
Pointing out that among the beneficiaries most are the shares of defense industry companies, as well as technology companies that provide solutions in the same field.
Amr Zakaria Abdo, co-founder of the Market Trader Academy for Financial Market Studies, also confirmed to Mubasher Info that among the sectors that will have the lion’s share of gains due to current events are
Shares of companies that have a direct or indirect relationship with defense industries, the cybersecurity technology sector, and the nuclear energy sector
.
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2023-10-13 09:10:25
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