The Arab Monetary Fund has published the 125th edition of its Quarterly Bulletin on the Performance of Arab Capital Markets, covering developments in the second quarter of 2026. The bulletin shows that most Arab stock markets improved during the quarter, with 13 exchanges posting gains and three recording declines. Even so, the AMF Arab Composite Index edged down 0.16% from the end of the first quarter of 2026, while remaining up 1.08% year on year. Among individual markets, the Tunis Stock Exchange recorded the strongest performance, with its main index rising 29.28%, followed by the Egyptian Exchange at 11.40%, the Dubai Financial Market at 9.59% and the Damascus Securities Exchange at 9.32%. The largest declines were in the Saudi Exchange, down 4.00%, and the Muscat Stock Exchange, down 8.09%, while the Iraq Stock Exchange fell 0.61%. Total market capitalization across Arab financial markets fell 0.59%, or USD 25.72 billion, to about USD 4,316.88 billion at the end of the quarter, while the value of traded shares rose 8.70% to about USD 292.46 billion from USD 269.03 billion in the first quarter. The bulletin linked market performance to economic and geopolitical developments, oil price movements, liquidity conditions, global trade tensions, and the effects of monetary policy and elevated interest rates, and noted that the MSCI Arab Index declined 1.63%.