Gulf Markets Decline: Kuwait Pressured by Leading Stocks and Qatar Continues Correction

Kuwait: Pressure on Indices with Declines in Banks and Operational Stocks

The Kuwaiti market ended Wednesday's session with a collective decline in indices, led by selling pressures from leading stocks, particularly in the banking sector, amid moderate liquidity reflecting investor caution.

• General Index closed at 8,911 points, down 0.60%

• First Market fell to 9,531 points, down 0.51%

• Main Market was the most affected, dropping 1.01%

The session saw trading volumes of approximately 56.2 million Kuwaiti Dinars, with notable activity in Kuwait Finance House (KFH) and National Bank of Kuwait (NBK), which directly burdened the general index.

Conversely, limited gains were observed in selective stocks such as AAYAN, GFH, and STC, but these were insufficient to offset widespread pressures, especially with declines in operational stocks like Mizan, Arzan, and Al-Jazeera.

Qatar: Decline in Main Index Despite Positive Annual Performance

In the Qatari financial market, the QE Index closed at 10,655 points, down 0.67% from the previous session, continuing a moderate correction in December.

In terms of time frame:

• The index recorded a slight monthly decline of 0.26%

• However, it remains 0.91% higher year-on-year

This indicates that the Qatari market is undergoing a healthy correction following previous gains, with no signs of structural pressures or sharp liquidity exits.

Comparative Analysis: Gulf Caution and Awaiting Catalysts

The performance of Kuwait and Qatar reflects a shared Gulf caution, as:

• Markets are affected by the absence of immediate catalysts

• Pressure is concentrated on leading stocks and banks

• While annual trends remain relatively positive, especially in Qatar

Analysts believe that the movements of Gulf markets at this stage will remain contingent on:

• Trends in oil

• Expectations for global interest rates

• And corporate results for the upcoming quarter

Conclusion

• Kuwaiti Market: Short-term pressures with relative resistance

• Qatari Market: Limited correction within a stable annual trajectory

• Overall Trend: Cautious fluctuations awaiting new catalysts