Markets Update:Gulf stock markets rose at the open today, taking cues from global markets, amid investor optimism after Greece held its elections yesterday.
Gulf markets on the rise as Greece sparks optimism
Gulf stock markets rose at the open today, taking cues from global markets, amid investor optimism after Greece held its elections yesterday, signaling that the country is moving closer to resolve its worsening debt crisis.
The Dubai Financial Market General Index gained 0.6 per cent to 1472.88 points, while the Abu Dhabi Securities Exchange General Index was little changed at 2445.50 points.
In Asia, Japan's Nikkei Index gained 1.7 per cent to 8721.02 points. Korea's Topix gained 1.6 per cent to 738.81. Hong Kong's Hang Seng Index added 1.2 per cent to 19,469.20 points. Greece's largest pro-austerity and bailout parties, New Democracy and Pasok, won enough ballots to form a parliamentary majority, according to an official projection by the country's Interior Ministry. The euro rose 0.6 per cent at $1.2710. Earlier today, it touched $1.2748, the highest level in a month.
"The currency was boosted because people are speculating the results would be interpreted as Greece is not going to leave the euro-zone," said Marwan Shurrab, the chief trader at asset-manager Gulfmena Investments in Dubai. "Many investors are still waiting to see how European markets open."
Elsewhere in the region, Kuwait's index gained 0.2 per cent to 5924.72 points. Bahrain's measure added 0.1 per cent to 1131.75 points. Oman's index was little changed at 5712.40 points. Qatar's QE Index was also little changed at 8251.23 points.
The Saudi Tadawul All-Share Index gained 0.4 per cent yesterday to 6754.23 points.