Markets across the Gulf took a cautious step backward on Wednesday, with most indices ending the day in the red as traders paused in anticipation of Federal Reserve Chair Jerome Powell’s highly anticipated Jackson Hole speech later in the week.
Qatar’s benchmark index was among the more noticeable decliners, slipping about 1.6% to mark its fourth straight losing session. The pullback reflects a shift toward profit-taking after last week’s strong earnings-driven surge. Every sector felt the pressure—Qatar Islamic Bank lost around 2.9%, while Qatar National Bank dropped about 1.5%.
Part of the hesitancy also stems from Qatar's market awaiting the FTSE Global Equity Index’s next quarterly review, which could determine whether Qatar remains locked in or shifts out of prominent institutional portfolios. Osama Al Saifi at Traze.com highlighted this as a key point of concern.
Looking further east, the broader Gulf region mirrored this sentiment. With their currencies tied to the U.S. dollar, regional markets remain acutely sensitive to hints of future U.S. interest rate moves. Powell's impending remarks at Jackson Hole carry even more weight—any indication that the Fed is reconsidering or delaying a rate cut could unsettle markets here, making investors tread carefully until clarity emerges.
No comments:
Post a Comment