Special Edition | EcoPulse24 Markets

Dubai | EcoPulse24

Gulf equity markets opened the week on a strong footing Sunday, with stocks across Saudi Arabia, Qatar, and Kuwait posting broad-based gains as investor sentiment improved amid easing geopolitical tensions and declining energy risk premiums.

The rally was characterized not only by higher benchmark indices but also by expanding market breadth, strong participation from financial institutions, and renewed demand for cyclical and growth-oriented sectors.

Qatar delivered the strongest performance among the region's active exchanges, while Kuwait extended recent gains and Saudi Arabia's Tadawul remained firmly above the psychologically important 11,000-point level.

Qatar Leads Regional Gains

The Qatar Exchange Index (QE Index) climbed 1.92% to close at 10,461 points, marking the strongest advance among the major Gulf markets.

Market activity remained healthy, with:

• 16,885 trades

• 149.1 million shares traded

• QAR 386.7 million in turnover

Most Actively Traded by Value

Top Gainers

The session highlighted strong institutional demand for banking shares, with both QNB and Qatar Islamic Bank ranking among the market's most actively traded and best-performing stocks.

Saudi Arabia Extends Gains Above 11,000

The Tadawul All Share Index (TASI) rose 0.57% to close at 11,104.42 points, maintaining momentum above the 11,000 threshold.

Market statistics reflected notably positive internal breadth:

• 199 stocks advanced

• 62 stocks declined

• 270 listed companies

• SAR 4.25 billion in turnover

• 202.95 million shares traded

Most Actively Traded by Value

Top Gainers

While Aramco declined alongside softer oil prices, gains across financials, industrials, and mid-cap names helped lift the broader market.

Notably, Ma'aden surged more than 5%, emerging as one of the standout performers among Saudi blue chips.

Kuwait Advances as Banks Drive Liquidity

The Boursa Kuwait All-Share Index gained 1.33%, closing at 8,839.03 points.

Trading activity remained robust:

• 26,418 trades

• 474.6 million shares traded

• KWD 133.9 million in turnover

• Market capitalization of KWD 52.96 billion

Most Actively Traded by Value

Top Gainers

Kuwait's rally was initially led by heavyweight banking stocks, particularly Kuwait Finance House and National Bank of Kuwait, but market leadership broadened as investment and real estate names attracted fresh buying interest.

EcoPulse24 Analysis

A Region-Wide Return of Risk Appetite

Sunday's session was notable not simply because all three active Gulf markets closed higher, but because the gains were supported by improving market internals.

Saudi Arabia recorded nearly three advancing stocks for every decliner, while Qatar's banking sector delivered both liquidity and performance leadership. Kuwait, meanwhile, saw participation expand beyond financial heavyweights into investment and property-related names.

This pattern often signals improving investor confidence rather than isolated stock-specific moves.

Banking Stocks Reassert Leadership

One of the clearest themes across the Gulf was the dominance of financial institutions.

Among the most actively traded names were:

• Al Rajhi Bank

• Alinma Bank

• Qatar Islamic Bank

• QNB

• Kuwait Finance House

• National Bank of Kuwait

The concentration of flows into large banking institutions suggests investors continue to favor balance-sheet strength, dividend visibility, and direct exposure to regional economic growth.

Geopolitics and Energy Markets Remain Key Drivers

The rally comes as energy markets have begun to unwind part of the geopolitical risk premium that drove oil prices sharply higher in recent weeks.

Lower oil volatility, improving diplomatic signals across the region, and easing inflation concerns have helped support risk assets globally, including Gulf equities.

This market behavior aligns with recent readings from the Masadir Economics Macro Signals Monitor, which continue to show:

• Easing energy-cost pressures

• Supportive regional liquidity conditions

• Improving risk appetite indicators

Looking Ahead

Investors will now monitor whether the current improvement in sentiment translates into sustained capital inflows during the week ahead.

If geopolitical tensions continue to ease and energy markets remain stable, Gulf equities may increasingly refocus on corporate earnings, economic fundamentals, and sector-specific growth opportunities rather than short-term regional risks.

For now, Sunday's session delivered a clear message:

Risk appetite has returned to Gulf markets, and investors are once again rewarding regional equities with broader participation and stronger capital flows.