Saudi stocks initially joined the two indexes earlier this year. The market was also supported by news that Saudi oil supply was uninterrupted despite weekend attacks on the kingdom's oil facilities and by a cut in Saudi interest rates. Saudi Arabia said it continues to supply oil to its customers from its stockpiles and the attacks would have "zero impact" on government revenues.
The Saudi index ended 1.4% higher with Al Rajhi Bank gaining 2% and Bank Albilad surging 8%, its biggest intraday gain since August 2015. The central banks of Saudi Arabia and the United Arab Emirates, which peg their currencies to the US dollar, cut interest rates on Wednesday after the Federal Reserve lowered US rates, which Saudi officials said should help the country's banks by boost lending.
Petrochemical stocks also rose, extending their gains from Wednesday after saying their feedstock supplies from Aramco had significantly improved. Saudi Basic Industries climbed 2%, while Saudi Arabia Fertilizers leapt 5.5%. However, the tensions in Middle East weighed on other regional markets after Saudi Arabia presented what it called "undeniable" evidence of Iranian links to the Aramco attacks.
In Abu Dhabi, the index eased 0.6%, with the country's largest lender First Abu Dhabi Bank losing 0.8% and Abu Dhabi Commercial bank shedding 2.5%. Qatar's index was down 0.3%, led by a 6.5% plunge in Ooredoo and a 2.2% drop in Masraf Al Rayan. In Dubai, the index slipped 0.1%, extending losses for a third-day consecutively. Dubai Islamic Bank, the United Arab Emirates' largest Shariah-compliant lender, lost 1.9% and Emirates ended 1.1% lower. Egypt's blue-chip index traded flat as gains in the real estate sector were marred by financial shares. Talaat Mostafa hiked 3.9%, while Commercial International Bank dropped 0.9%.