Gulf markets rebound

Major Gulf stock markets closed higher yesterday, buoyed by some bargain-hunting after sharp declines in the previous two sessions and by progress towards clinical trials of a potential treatment for COVID-19. Gilead Sciences on Friday increased the enrolment target by 3,600 for trials of experimental drug redeliver in severe COVID-19 patients, a day after a media report said the drug showed some promise.

However, analysts and the company urged caution on drawing conclusions from early data. The Dubai index advanced 3 per cent, with Emirates NBD Bank up 3.7pc ahead of a board meeting to approve first-quarter earnings while developer Emaar Properties also gained 3.7pc. The emirate has extended by one week a 24-hour-a-day curfew imposed to control the spread of the coronavirus, the government said in a Twitter post on Friday.

The Abu Dhabi index rose 2.9pc, boosted by a 4pc jump for the country’s largest lender, First Abu Dhabi Bank. Saudi Arabia’s benchmark index added 0.7pc as Al Rajhi Bank firmed by 0.6pc and Saudi Telecom registered a 1.4pc gain. Saudi Arabia is facing the global coronavirus crisis from a position of strength, given its strong financial position and reserves, with relatively low government debt, its finance minister said. Meanwhile, the kingdom’s highest religious body, the Council of Senior Scholars, urged Muslims worldwide to pray at home during Ramadan if their countries require social distancing to curb the spread of the virus, state news agency SPA reported yesterday.

The Qatari index rose 0.5pc, with Commercial Bank rising 2.7pc and Qatar Islamic Bank up 0.7pc. Qatar, which has locked down part of an industrial zone where many migrant workers live and work, has reported a total of 5,008 coronavirus cases, mostly among expatriate workers quarantined because of exposure to people with COVID-19. Egypt was closed for a public holiday