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Gulf stock markets decline on US tariffs

Uncertainty over US import tariffs caused volatility in Gulf stock markets. While Dubai and Qatar stock markets lost value, Saudi Arabia index diverged positively with the rise of Saudi National Bank. In energy markets, OPEC+ may decide to postpone the planned supply increases.

Gulf stock markets decline on US tariffs

Gulf stock markets were broadly lower on Tuesday amid uncertainty over US President Donald Trump's import tariffs. Since taking office last month, Trump has imposed tariffs of 10% on imports from China and up to 25% on certain products from Mexico and Canada. He also announced a 25% tariff on imported steel and aluminum and said he was considering retaliatory tariffs against countries that imposed tariffs on the US. These developments, which have unsettled global markets, have pushed investors in the Gulf region to act cautiously.

Against this backdrop of uncertainty, the main index of the Dubai Stock Exchange declined by 0.5%, while Salik Company shares decreased by 2.6% after a four-day rally. In Abu Dhabi, the index decreased slightly by 0.1%. Saudi Arabia's stock market, on the other hand, was positive, with the index increasing by 0.3%. This was led by a 3.1% gain in Saudi National Bank, the country's largest bank. There was also activity in the telecom sector; shares of Mobile Telecommunications Company, which maintained its dividend despite a drop in annual profit, increased by 7%.

The Qatar Stock Exchange, on the other hand, decreased by 0.5%. Qatar National Bank, the region's largest bank, decreased by 0.4%, while petrochemical giant Industries Qatar lost 0.8%. On the other hand, energy markets are also closely monitored. According to Bloomberg, the OPEC+ group is considering postponing the supply increases scheduled to start in April. This decision could be taken despite Trump's pressure to lower oil prices.

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