- Gulf Markets
The ADX General is declining slightly to 9,262.09 in Abu Dhabi in early trading. Aldar Properties PJSC contributed the most to the index decline, decreasing 0.7%. Umm Al Qaiwain General Investment Co. had the largest drop, falling 9.7%.
The DFM General Index opened 0.2% higher, climbing 8.4 to 4,862.85, as stocks gain for the second straight day in Dubai. Salik Co. PJSC contributed the most to the index gain, increasing 0.8%. Takaful Emarat Insurance PSC had the largest increase, rising 4.9%.
The Tadawul All Share Index opened 0.2% higher, climbing 23.28 to 11,978.52, as stocks gain for the fifth straight day in Riyadh. Al Rajhi Bank contributed the most to the index gain, increasing 0.3%. Ataa Educational Co. had the largest increase, rising 2.6%.
Oil edged higher as the market weighed the fallout from the toppling of the Syrian government, which has sent shockwaves through the Middle East and dealt a blow to longtime backers Russia and Iran. Brent rose toward $72 a barrel and Texas Intermediate was above $67. The fall of Bashar Al-Assad’s regime has created a power vacuum, with multiple groups vying for control, raising the prospect of more violence. Memories of Libya and Iraq loom large in the region, where entrenched rulers were swept aside only for the countries to descend into deeper turmoil.
- Gold
Gold is still trading within a narrow range despite news about China’s central bank adding bullion for the first time in seven months and despite increased geopolitical tensions in the Middle East amid the fall of the Assad regime in Syria.
Today, bullion edged slightly higher by 0.4%, trading just below the $2,650 an ounce mark. The market reaction to the PBOC adding 160,000 fine troy ounces last month seems muted as the volume bought was relatively small compared to monthly additions earlier this year. The resumption in purchases indicates that the PBOC is still keen to diversify its reserves and guard against currency depreciation, even with bullion near record-high levels. Looking ahead, all eyes will be on the CPI data due later this week, an important indicator before the Fed’s meeting next week.
On the 4-hour chart, Gold is trading above the 9-day SMA and could see resistance near $2,664 and support near $2,620.
Gold prices in the UAE are as follows:
24 Carat – AED 319.25
22 Carat – AED 295.50
21 Carat – AED 286.25
18 Carat – AED 245.25
