JEDDAH – Saudi Arabia's stock benchmark Tadawul All Share Index retreated 0.01 percent Wednesday to close at 7,049.51 points, along with most of the Bahrain's measure rose 0.2 percent. Qatar's Index fell 0.2 percent and Kuwait's gauge increased 0.3 percent. Dubai's DFM General Index declined 0.3 percent to 1,550.13 at the close. However, Abu Dhabi's measure added 0.2 percent. “Things are quiet in local markets and investors are looking toward international share price moves for direction,” said Firass Yaish, head of business development at Trust Capital. “Any sentiment change on ECB will hit commodities and filter through to equities here.” Concerns related to the eurozone debt crisis, which is now heading into its third year, means investors are aware of potential downside impact and have factored it into prices, analysts said. The price of oil fell slightly as the market awaits the latest move by Europe's central bank to ease the debt crisis that has hamstrung the region's economy. Benchmark oil slipped 4 cents to $95.26 per barrel in afternoon trading in New York. Brent crude, which is used to price international varieties of oil, fell 56 cents to $113.62 per barrel in London. Weak manufacturing reports earlier in the week from China and the US, as well as Europe's dire economic picture, weighed on trader sentiment Wednesday. But that was countered by hope for measures from central banks and governments to promote global economic growth, which could translate into more demand for energy products. Traders are awaiting two key developments later this week. The European Central Bank is expected to announce a bond-buying program Thursday to reduce high borrowing costs in Spain and Italy. The program is designed to help stabilize the region's financial crisis and promote growth. Analysts say oil prices likely will fall without additional aid for the European economy because that would heighten concerns about a Europe-wide recession, Tradition Energy oil analyst Gene McGillian said. He speculated that the price could drop into the mid-$80 per barrel range. Oil's low for the year was $77.69 per barrel in late June. – SG/Agencies
