Dubai gains over 2%; Saudi Aramco hits record high

DUBAI: Major Gulf bourses jumped on Wednesday with Dubai’s main index posting its best day in over three months as oil prices rocketed past $110 a barrel on worries over the impact of aggressive sanctions against Russia for invading Ukraine.

Oil prices surged to $113.02 and global stocks came under renewed pressure. OPEC+ oil producers meeting on Wednesday did not plan to accelerate output rises, according to a draft deal seen by Reuters, as Saudi Arabia and the United Arab Emirates recommit to a deal with Russia even as crude prices shoot higher.

Dubai’s main index surged 2.1% to mark its best day since Nov. 15. Dubai Islamic Bank rose 4.7% after shareholders approved its annual cash dividend. “The Dubai stock market continues to rise as investors take into account the gradual improvements in the sanitary conditions and the strong fundamentals,” said Eman AlAyyaf, CEO of EA Trading.

Higher oil prices also helped sentiment in Abu Dhabi and Saudi Arabia, AlAyyaf added. In Abu Dhabi, the index climbed 1.7% in its fourth straight day of gains. Shares of Abu Dhabi National Energy Company gained 3.3% after its board proposed a special cash dividend.

Saudi Arabia’s benchmark index ended flat with gains in energy stocks offset by losses in financials. Oil giant Saudi Aramco jumped nearly 4% to hit a record high of 43.05 riyals. The Qatari index gained 1.2%, boosted by industrials and real estate stocks. Outside the Gulf, Egypt’s blue-chip index fell 0.8%.