Saudi Arabia's stock market fell on Tuesday as most of its bank shares dropped while Egypt's blue-chip index gained, partly helped by Global Telecom on the prospect of it going private. Market sentiment was also hurt by weak global markets, as prospects for a long-awaited Sino-US trade deal were dealt another blow after the United States levelled sweeping criminal charges against China's telecom giant Huawei.

Saudi Arabia's index lost 0.5 percent with Al Rajhi Bank dropping 0.8 percent and Samba Financial Group shedding 1.6 percent. Al Khodari lost 0.4 percent after the Capital Market Authority said it would impose a fine of 40,000 riyals ($10,665.81) following its failure to disclose financial results within the specified time frame.

But Amana Cooperative Insurance jumped 10 percent after saying its shareholders approved a capital increase to 240 million riyals from 140 million riyals. The Dubai index edged down 0.2 percent, pulled by its banking shares. Mashreq Bank plunged 10 percent, while Commercial Bank of Dubai slumped 7.5 percent.

Property developer DAMAC Properties added 0.8 percent. The firm responded to reports that it was going invest $1.3 billion in London's property market. DAMAC said it had no plans to invest in the UK real estate market at the moment.

The Egyptian blue-chip index was up 0.5 percent, helped by a 9.9 percent jump in Global Telecom Holding. The stock has gained for the third straight session after its major shareholder VEON Ltd said it was considering taking it private. Sixth of October Development and Investment Company (SODIC) increased 2.5 percent, while Madinet Nasr for Housing and Development (MNHD) gained 3 percent.

The firms have been rising in the last few sessions after calling off a planned merger last week. Abu Dhabi's index slid 0.4, with First Abu Dhabi Bank falling 0.8 percent and Abu Dhabi's National Energy Company (TAQA) slipping 6.8 percent. TAQA said the board will meet next week to approve financial results.

International Holding continued to gain, closing 8.8 percent higher. The company said it would initiate discussions to buy PAL Cooling. Abu Dhabi Commercial Bank (ADCB), Union National Bank (UNB) and Al Hilal Bank agreed a merger on Tuesday to create the third-largest bank in the United Arab Emirates.

The announcement was made after the market closed. ADCB dipped 0.2 percent and UNB lost 2.4 percent as of last close on Monday. The Qatar index edged up 0.2 percent, helped by a 3.6 percent rise in Qatar Fuel and a 3.2 percent increase in Qatar Gas Transport Co.

Doha Bank rebounded partially, adding 2.2 percent. The company fell after reporting a decline in its full year profit. Qatar National Bank, the largest bank by assets in the Middle East and Africa, was down 0.3 percent. The bank is planning to issue US dollar-denominated bonds, Reuters said, citing sources familiar with matter.

Copyright Reuters, 2019