By: Mahmoud Gamal
Mubasher: Investors in the Gulf stock markets remain in a cautious mood ahead of Wednesday's policy decision the Federal Reserve on interest rates.
Foreign portfolio investors tend to sell their stocks on Tuesday due to anxiety over the Fed’s meeting results and the upcoming Saudi Arabia’s state budget for 2017, analysts told Mubasher.
The state of anticipation and caution that controls Gulf bourses led to a decline in trading volume by 50% on Tuesday as compared to Monday, capital market analyst Hamid Al Ankari told Mubasher.
Gulf stocks will see increasing pressures on Wednesday and Thursday on the back of expected higher interest rates, in addition to the geopolitical conditions in the region, Al Ankari added.
Volatile oil prices is one of the main reasons that pushed investors to liquidate their positions till the vision become clear, capital market analyst Ahmed Akl.
Annual financial announcements will determine the GCC markets’ performance in the coming period, Akl explained.
Translated by: Julian Nabil
