Major Gulf bourses track Asian shares, oil prices lower

Most Gulf stock markets looked set to post weekly gains, even as major indexes fell in early trade on Thursday, weighed down by weakness in Asian shares and oil prices.

MSCI’s broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) was down 0.48%, after a surprise interest rate hike by the Bank of Canada brought back fears that US rates could stay higher for longer and the Federal Reserve could remain hawkish when it meets next week.

Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.

Dubai’s main share index (.DFMGI) dropped 0.2% and was on course to snap nine straight sessions of gains, with blue-chip developer Emaar Properties (EMAR.DU) losing 1.6%.

In Abu Dhabi, the benchmark stock index (.FTFADGI) eased 0.3%.