Gulf stock markets ended the session with mixed outcomes on Sunday, reflecting investor caution over escalating tensions between the United States and Iran. Saudi Arabia's benchmark index rose 0.3% to 11,069, buoyed by gains in major banks; Al Rajhi Bank added 0.7% and Saudi National Bank climbed 1.1%. In contrast, Qatar's index slipped 0.3% to 9,734, pressured by a 0.7% decline in Qatar Islamic Bank.
Egypt's blue‑chip index, outside the Gulf region, advanced 0.7% to 56,676, driven by a 2.2% rise in Talaat Moustafa Group Holding. Bahrain's index fell 0.1% to 1,937, Kuwait's lost 0.2% to 9,227, while Oman’s index held steady at 7,632.
The market backdrop was shaped by Iran's pledge to counter U.S. sanctions and its warning of a "painful response" to further aggression. The conflict, now six months into a stalemate following initial U.S.-Israeli strikes, saw diplomatic peace efforts collapse after a June ceasefire fell apart, with hostilities resuming after a brief pause in July. U.S. Central Command reported striking three Iranian tankers on Saturday in retaliation for ballistic missile attacks on two U.S. Navy warships.
