LONDON: Most stock markets in the Gulf gave up early gains to close lower on Tuesday, as investors booked profits and turned cautious ahead of a US Senate vote on President Donald Trump’s landmark tax and spending bill.
The proposed legislation, which faces internal Republican opposition, is expected to add $3.3 trillion to the nation’s debt pile.
Saudi Arabia’s benchmark index dropped 0.4 percent, weighed by a 2.3 percent fall in Saudi Arabian Mining Company.
Among other losers, Savola slipped 2.2 percent after announcing its CEO had stepped down by mutual agreement as part of a strategic overhaul.
Dubai’s main share index eased 0.2 percent, snapping a six-day rally after hitting a 17-year high earlier in the session, hit by a 0.7 percent fall in blue-chip developer Emaar Properties.
Meanwhile, Trump continued to pressure the US Federal Reserve, sending Chair Jerome Powell a list of global interest rates with handwritten commentary suggesting US rates should fall between Japan’s 0.5 percent and Denmark’s 1.75 percent.
In Abu Dhabi, the index finished 0.3 percent lower.
Oil prices were slightly higher as investors assessed expectations that OPEC+ will announce an output hike for August at an upcoming meeting, as well as trade negotiations.
The Qatari index closed 0.5 percent lower, extending losses from the previous session when it ended a six-day winning streak, with all sectors in negative territory.
Qatar’s economy expanded 3.7 percent in the first quarter, up from 1.5 percent a year earlier, according to government data issued on Tuesday.
Outside the Gulf, Egypt’s blue-chip index lost 0.5 percent, with Beltone Financial Holding declining 6.7 percent.
