Three Fed officials hinted Thursday at a rate cut in September, saying they supported a “slow and methodical” approach to easing monetary policy.
Monetary policy in the six Gulf Cooperation Council countries, including the UAE, is usually guided by the decisions of the US Federal Reserve, as most of the region’s currencies are pegged to the dollar.
The Abu Dhabi index closed up 0.4 percent in a volatile session, supported by a 0.1 percent rise in International Holding and a 0.2 percent increase in its subsidiary Alpha Dhabi Holding.
Among the gainers was nmdc (formerly National Marine Dredging Company) marine services, which rose 3.4 percent after signing a $200 million contract for offshore dredging work at an Abu Dhabi National Oil Company (ADNOC) liquefied natural gas (LNG) project.
Oil prices, a key catalyst for Gulf financial markets, extended gains on Monday as fuel supply concerns eased amid renewed Gaza ceasefire talks. Brent crude was up 1 percent at $77.99 a barrel by 1119 GMT.
But the Dubai Financial Market index fell 0.4 percent after three consecutive sessions of gains, affected by a 1.4 percent decline in Emaar Properties and a 5.5 percent drop in Commercial Bank of Dubai.
On a weekly basis, the Abu Dhabi Stock Exchange index rose 1 percent, while the Dubai Stock Exchange index rose 1.2 percent, according to data from the London Stock Exchange Group.
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