Gulf stock markets fell on Sunday after U.S. economic data and comments from Federal Reserve officials indicated a slower pace of interest rate cuts.
Investors' expectations that the Federal Reserve will keep interest rates unchanged at its upcoming meeting in December have increased, while expectations for monetary policy easing in 2025 have diminished.
The US Federal Reserve's decisions greatly affect monetary policy in the Gulf region because most of its currencies are pegged to the dollar.
The Qatari index fell 0.4 percent, with almost all listed stocks falling, led by the finance, communications and energy sectors.
Qatar National Bank, the Gulf's largest bank, lost 1.4 percent, while Qatar Navigation fell 1.1 percent.
The Saudi index rose 0.2 percent after suffering losses for three sessions, supported by gains in the technology, utilities, real estate, industrial, healthcare and insurance sectors.
Shares of Mediterranean and Gulf Cooperative Insurance and Reinsurance Co. (MedGulf) jumped 10 percent, its biggest daily gain in more than six months. The company said in a statement to the Saudi stock market that it had received a circular from the Insurance Authority regarding a new mechanism for allocating reinsurance premiums to the local market.
Almost all insurance sector stocks in Saudi Arabia jumped except for two, with Al Rajhi Takaful Insurance Company (Al Rajhi Takaful) rising 3.9 percent and Saudi Reinsurance Company (Saudi Re) rising 6.9 percent.
The new mechanism will help increase reinsurance revenues in the Kingdom by more than five percent starting in 2023, Re said in a statement.
Outside the Gulf, Egypt's blue-chip index erased the previous session's gains, falling 0.7 percent as most of its listed sectors declined.
Telecom Egypt lost 2.6 percent after announcing a 13 percent drop in quarterly net profit on Thursday.
Juhayna Foods shares rose 3.7 percent after posting a nearly 200 percent jump in third-quarter net profit.
