DUBAI Feb 6 Stock markets in the Gulf may move
little on Monday as global shares and crude oil prices offer no
encouragement for fresh allocations, while Kuwait's market may
underperform peers after a five-week bull run began to reverse
in recent days.
MSCI's broadest index of Asia-Pacific shares outside Japan
has inched up 0.5 percent on Monday morning and
Brent oil futures are up 0.3 percent to $56.81 a
Kuwait's stock market had declined for four out of
the last five trading sessions and was hit hard on Sunday,
dropping 2.3 percent amid rising political tensions. A survey by
Reuters at the end of last month found regional fund managers
were equally split on whether they would increase or reduce
allocations to Kuwaiti equities over the next three months.
But Dubai's index may remain buoyant with
investment focused on small and mid-sized speculative shares.
Many fund managers believe valuations in Dubai and Abu Dhabi
look attractive, and macroeconomic data is supportive; a
corporate survey published on Sunday showed business activity
growth in the United Arab Emirates non-oil private sector rose
to a six-month high in January.
(Reporting by Celine Aswad; Editing by Andrew Torchia)