Mixed performance for regional markets coupled with weak oil prices for the first week in 2H 2017 – Al Masah Capital Weekly Report


Starting the second half of 2017, geopolitical tensions weighed down on investors’ sentiments affecting regional markets’ performance.  

Over the week, five out of the eight regional indices ended lower with Saudi Arabia coming in as the worst performer among its peers, down by -3%, followed by Kuwait and Qatar were both headed south by -1.2% followed by Abu Dhabi -0.7% and Egypt -0.2%. Dubai and Bahrain were modestly up by +0.3% and +0.1% over the week, while Oman remained unchanged over the same period.

Over the week, regional markets lacked any sound macro news except for Egypt where the CBE announced increasing its rates again by 200 bps, this comes directly after the recently announced increases in fuel prices by more than 40%, the application of the additional 1% in VAT and the increase in electricity prices.

Oil is still hovering around USD 46 per barrel, ending last week down by 4.2%.for the coming period, macro news coupled with the awaited 2Q 2017 earnings will be the main movers to most of the markets’ performances.

Indexes Last WTD (%) MTD (%) YTD (%)
Dubai (DFMGI) 3,401.15 0.27% 0.27% -3.67%
Abu Dhabi (ADSMI) 4,396.35 -0.66% -0.66% -3.30%
Saudi (SASEIDX) 7,203.99 -2.99% -2.99% -0.09%
Kuwait (KWSE) 6,680.13 -1.22% -1.22% 16.21%
Egypt (EGX30) 13,369.88 -0.19% -0.19% 8.30%
Qatar (DSM) 8,922.72 -1.19% -1.19% -14.51%
Bahrain (BHSEIDX) 1,310.86 0.06% 0.06% 7.41%
Oman (MSM30) 5,119.52 0.02% 0.02% -11.47%
TR GCC (Reuters) 191.28 -0.04% -0.04% -5.59%
DJ MENA 517.99 -1.45% 1.45% 4.03%

About Al Masah Capital:

Al Masah Capital is one of the fastest growing alternative asset management and advisory firms focused on the MENA and SEA regions. Established in 2010 Al Masah Capital provides tailored solutions to a broad investor base, offering private equity advisory (across Healthcare, Education, Food & Beverages, Logistics and other consumer driven sectors), asset management, corporate and real estate advisory as well as public market research services.

With operations in Dubai, Abu Dhabi and Singapore, Al Masah advises qualifying investors on growth opportunities in 13 focus markets in MENA and South East Asia.