Markets across the Arabian Gulf were mixed on Monday after the previous trading day’s record sell-offs, as oil continued to weaken.
Brent crude futures fell to yet another multiyear low of US$27.72 per barrel on Monday, on fears that Iran’s re-entry into the international oil market would exacerbate a supply gut.
“The prospect of additional oil from Iran is likely to preclude any price recovery for the foreseeable future, yet should no longer weigh so heavily on prices,” said analysts from Commerzbank in a research note on Monday, stating that the market had already priced in Iran’s intention to ship 500,000 barrels per day.
Saudi Arabia’s Tadawul All Share Index, which has proved most sensitive to oil’s dwindling fortunes, ended the day down 0.4 per cent.
Shares in Dubai and Abu Dhabi briefly bounced back during the morning, before gradually retreating to end the day largely unchanged.
The Dubai Financial Market General Index closed down 0.2 per cent at 2,677.50, while Abu Dhabi’s headline index closed up 0.2 per cent at 3,794.98.
Dubai Parks and Resorts was among the main gainers, rising 1.9 per cent to Dh1.04 on news that it had leased nearly two- thirds of units at its Riverland Dubai theme park in Jebel Ali.
Emirates NBD rose 0.9 per cent to Dh6.50 after announcing a 74 per cent increase in fourth-quarter profit.
Follow The National’s Business section on Twitter