Reuters Most stock markets in the Gulf ended higher on Sunday as coolerthanexpected U.S. inflation data supported the view that the Federal Reserve could cut borrowing costs early in 2024.

The U.S. Commerce Department report showed prices fell in November for the first time in more than 312 years.

The Fed signaled at its Dec. 13 meeting that it had reached the end of its tightening cycle and opened the door to interest rate cuts in the coming year.

Monetary policy in the sixmember Gulf Cooperation Council GCC is usually guided by the decisions of the U.S. Federal Reserve, as most regional currencies are pegged to the dollar.

The Qatari index rose for a sixth straight session, ending 1.1 higher, with all sectors in positive territory.

Qatar Islamic Bank climbed 3.3 and Commercial Bank surged 1.9.

Saudi Arabia39;s benchmark index rose 0.6, following two consecutive sessions of losses, aided by gains in all sectors, with Etihad Atheeb Telecommunication Co advancing 3.7 and Lumi Renta surging 3.1.

The world39;s largest Islamic bank by assets, Al Rajhi Bank, gained 1.3.

Outside the Gulf, Egypt39;s bluechip index was down for the fourth consecutive session and ended 2 lower, hit by a 3.2 loss in Commercial International Bank and a 5.1 drop in EFinance.

SAUDI ARABIA

 gained 0.6 to 11,691

QATAR

 rose 1.1 to 10,400

EGYPT

 dropped 2 to 23,822

BAHRAIN

 added…