DUBAI, March 22 A big overnight drop in crude
oil prices and losses on international bourses look set to drag
stock markets in the Gulf lower on Wednesday.
On Tuesday Brent crude hit a session low of $50.73 a
barrel and it was trading around the same level on Wednesday
morning. It is down 13 percent since hitting a high of $58.37 in
MSCI's broadest index of Asia-Pacific shares outside Japan
is down 1.3 percent in early trade, taking cues
from Wall Street, where the S&P 500 and Dow Jones Industrial
Average lost over 1 percent in their worst one-day performances
since before Donald Trump's election victory in November.
Most benchmarks in the Gulf have been underperforming other
emerging markets and liquidity has been low as investor jitters
over the risk of a further economic slowdown and contractionary
fiscal policies keep many buyers on the sidelines.
"The largest issue we have now in the Gulf is liquidity, and
there only is a two-month window for that to improve between
April and May, and then there is Ramadan and the summer season
which will mean back to low volumes," said a Doha-based fund
In Abu Dhabi, shares of Abu Dhabi National Hotel
will trade ex-dividend on Wednesday, which may pressure the
(Reporting by Celine Aswad; Editing by Andrew Torchia)