Mubasher: Net inflows to GCC equities in July rose to $436 million in August, compared to $373 million in July, according to a report by the National Bank of Kuwait (NBK).
Monthly average of flows to GCC markets reached $284 million since January, supported by improving risk appetite.
Qatar and UAE drove the inflows in the first two months of Q3-16.
“Inflows to Qatar have picked up notably in anticipation of the FTSE upgrade to “emerging market” status which took place in mid-September,” the report highlighted, adding that “UAE equities continue to benefit from a relatively favorable outlook driven by healthy non-oil economic growth”.
Gulf equities remain undervalued compared to other emerging markets, despite disappointing profit announcements in H1-16.
GCC markets are also benefiting from stabilizing oil prices which have been hovering around the $45/barrel level (Brent) for months now, up around 70% from their January low.
