MIDEAST STOCKS-Major Gulf markets sag on escalating U.S.-China trade war

    * Qatar's Mesaieed drops after poor H1 earnings
    * Nine of eleven Saudi banks decline
    * SABB decreased after posting Q2 losses
    * Bank of Sharjah falls the most in over a decade
    * Egypt Kuwait Holding surges on nod from authorities

    By Ateeq Shariff and Maqsood alam
    Aug 6 (Reuters) - Major Middle Eastern stock markets fell on
Tuesday, led lower by financial stocks and mirroring losses in
global markets triggered by the U.S. calling China a currency
manipulator in a rapid escalation of the trade war between the
two countries.
    China's central bank said on Tuesday that Washington's
decision to label Beijing as a currency manipulator would
"severely damage international financial order and cause chaos
in financial markets".
    Qatar’s index, which posted its biggest fall in two
years on Monday when it plunged 4.2% and wiped out all this
year's gains, slid a further 1.5% to hit a six-session losing
streak as 16 of its 20 companies traded lower.
    Mesaieed Petrochemical Holding declined 5% and
Barwa Real Estate dipped 4.4% after the duo reported
disappointing first-half earnings.
    The Saudi Arabian index closed 0.8% lower,
continuing its losing streak for a fifth straight session with
most of its banking shares falling.
    National Commercial Bank lost 3%, while Saudi
British Bank (SABB) dipped 3.4% after it swung to a
second-quarter loss.
    The latter posted a net loss of 254 million riyals ($67.72
million) in the second quarter compared with a profit of 833
million riyals a year earlier.
    Buruj Cooperative Insurance Co plunged 6% after it
recorded a more than 81% fall in second quarter net profit
before zakat which it blamed on a decrease in its net
underwriting surplus.
    Dubai's index edged down 0.1% with Emirates NBD
 shedding 0.9%, while Emaar Development
decreased 3.1% after it reported a 24% drop in first-half net
    Dubai prime residential property prices fell 1.9% in the
first half of the year due to the market being oversupplied,
Reuters reported on Monday, citing real estate company Savills
    In Abu Dhabi, the index traded flat as losses in the
financial and telecommunication sectors eclipsed gains in real
estate stocks.
    Abu Dhabi Commercial Bank shed 1.6% while Bank of
Sharjah slumped 9.9% to post its biggest intra-day loss
since January 2009. The lender on Sunday posted a 24% drop in
first-half profit.
    Aldar Properties closed 4.1% higher ahead of a
board meeting on Wednesday at which it will discuss the
company's second-quarter financial performance. EFG Hermes
forecasts a 7% rise in profit.
    Egypt's blue-chip index rose 0.4% with Egypt Kuwait
Holding gaining 3.2%. The firm obtained a regulatory
nod to allocate land to agricultural projects to procure raw
materials for its planned compressed wood factory.
    Ezz Steel surged 6.3% after a subsidiary of the
firm on Monday approved the acquisition of Ezz Rolling Mills and
 Ezz Flat Steel.
 SAUDI ARABIA  The index         dropped 0.8% to 8,394 points
 DUBAI         The index          lost 0.1% to 2,797 points
 QATAR         The index        fell 1.5% to 9,777 points
 ABU DHABI     The index        was flat at 5,081 points
 EGYPT         The index          rose 0.4% to 13,656 points
 KUWAIT        The index        was down 0.3% at 6,707 points
 OMAN          The index        gained 0.4% to 3,803 points
 BAHRAIN       The index        was flat at 1,545 points
($1 = 3.7508 riyals)

 (Reporting by Ateeq Shariff and Maqsood Alam in Bengaluru;
Editing by Kirsten Donovan)