By Mahmoud Gamal
Mubasher: GCC and Egyptian exchanges are expected to bounce between gains and losses throughout the remaining sessions of this week amid a decline in oil prices, dashed hopes on output cut and varied performance of global markets, analysts told Mubasher.
Oil ministers from Saudi Arabia, Qatar, Russia and Venezuela agreed on Tuesday to freeze oil output at January levels.
After this agreement, hopes on output cut were dashed, and thus oil prices dropped 4% on Tuesday.
Technical analyst Abdullah Al Jabali said the GCC markets would continue witnessing fluctuation in the remaining sessions of this week amid lackluster liquidity, but this is contingent on oil price fall below $30.
Al Jabali added that oil output freeze would boost global oil markets, but oil prices are unlikely to rise enough to end the pressures on GCC stock markets. Thus, he advised investors to be cautious currently.
Mohannad Uraiqat, analyst at Masaken Capital, said most regional markets are still moving in a downward trend, noting that rapid speculations still control the exchanges until the emergence of indicators showing a shift in the current downward trend.
He also advised investors to be cautious currently about trading in the region’s markets.
Translated by Abdul Maguid Aboshahla
