Major Gulf markets ease on fresh US tariff threats
Trump on Saturday said he would impose a 30% tariff on most imports from the EU and Mexico from August 1, even as they are locked in long negotiations.
The European Union said it would extend a suspension of countermeasures to U.S. tariffs until early August and continue to press for a negotiated settlement, though Germany's finance minister called for firm action if the levies went ahead.
Saudi Arabia's benchmark index (.TASI), opens new tab eased 0.2%, hit by a 0.4% fall in Al Rajhi Bank (1120.SE), opens new tab.
However, ACWA Power Co (2082.SE), opens new tab advanced more than 1%. The firm signed power purchase agreements on Sunday for clean energy projects with a capacity of 15 gigawatts and investments worth around $8.3 billion, the Saudi state news agency (SPA) said.
Dubai's main share index (.DFMGI), opens new tab dropped 0.3%, with sharia-compliant lender Dubai Islamic Bank (DISB.DU), opens new tab declining 0.9% and toll operator Salik Company (SALIK.DU), opens new tab losing 0.7%.
In Abu Dhabi, the index (.FTFADGI), opens new tab lost 0.3%.
Investors now await the U.S. inflation data for June, due on Tuesday, for more cues on the Federal Reserve's interest rate path. Markets are currently pricing in just over 50 basis points worth of easing by December. FEDWATCH
The Fed's decisions have a significant impact on the Gulf region's monetary policy, as most regional currencies are pegged to the U.S. dollar.
The Qatari index (.QSI), opens new tab decreased 0.5%, weighed down by a 0.8% slide in petrochemical maker Industries Qatar (IQCD.QA), opens new tab.
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