Gulf bourses advance as investors weigh US midterms and Iran standoff

By Reuters News

- Gulf bourses advanced in early trade on Wednesday as investors weighed the fallout from the US midterms and waited to see how Washington would respond in its war with Iran.

Democrats seized the Senate and the House, dealing a setback to President Donald Trump. Their wins in South Carolina, Texas and Ohio broke through long-held Republican territory.

Saudi Arabia's benchmark index .TASI gained 1.7%, lifted by a 6.7% jump in Saudi Arabian Mining Company 1211.SE and a 1.4% rise in Al Rajhi Bank 1120.SE.

The US carried out "defensive" strikes on Iran's Qeshm island targeting surface-to-air missiles used against US assets, a US official said on Tuesday. Another official said the strikes appeared limited and did not signal a return to major combat operations.

In Qatar, the index .QSI leapt 2.3%, with almost all its constituents in positive territory including Qatar Islamic Bank QISB.QA, which was up 3.3%.

Doha announced on Tuesday that Washington and Tehran remain dedicated to mediation and are examining proposals meant to close the distance between them.

Qatari officials also reported recent progress in discussions with each side, and efforts to shrink the differences between them are still underway.

Dubai's main share index .DFMGI rose 2.1%, with blue-chip developer Emaar Properties EMAR.DU increasing 3.6%.

The property giant is offering to buy all Emaar Development EMAARDEV.DU shares it doesn't already own, at AED 15 per share in cash, through its wholly owned unit, Emirates Property Holdings. Emaar Development shares rose 4%.

The Abu Dhabi index .FTFADGI was up 0.9%

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.