World stocks edged higher from their 11-month lows, but regional sentiment was soured early morning following a steep sell-off in US, Europe and Japan markets the previous day over debt woes and the euro zone banking system.

Oman’s shares fell for a fifth-straight session to a fresh two-year low. The benchmark lost 0.8 percent.

Renaissance Services slumped 5.7 percent over investor concerns that its second-quarter earnings may be hit by a court case. Results are due on Aug. 16, according to management.

Analysts expect a write-down from Renaissance’s postponed $500 million initial public offering of its Topaz unit earlier this year.

The write-down is estimated to be around 2 million rials, according to an EFG-Hermes research note.

Investors booked profit in Bank Muscat from Wednesday’s gains, when foreign buyers pushed the stock up. It fell 2.1 percent.

Elsewhere, Qatar’s index ended 0.3 percent lower at 8,107 points, down 3.5 percent in August so far.

Losers outnumbered gainers 13 to six.

“The market is reacting to international markets — it’s more of a continuation of current fears and avoidance of risk appetite internationally, which is affecting regional and other markets, like commodities,” said Marwan Shurrab, vice-president and chief trader at Gulfmena Investments.

Abu Dhabi’s index was off 0.5 percent.

First Gulf Bank dropped 3.2 percent and Dana Gas fell 1.8 percent despite posting forecast-beating results. Its second-quarter net profit more than tripled.

“These results demonstrate another strong quarter for Dana Gas, driven by both higher hydrocarbon prices, but more critically, by operational performance,” said a research note by EFG-Hermes. “Given that we expect the company to ramp up production, particularly in Kurdistan, as we go through the year and so anticipate progression in earnings growth.”

In Kuwait, the benchmark slipped 0.9 percent, down for six of last seven sessions.

Most large caps ended lower in a regional downbeat mood. Telecoms operator Zain shed 1 percent, Gulf Bank fell 2 percent and Boubyan Bank lost 1.7 percent.

Investment firm Kuwait Finance House bucked the trend and gained 2.2 percent. It said it expects to gain $40 million from a stake sale by one of its units, which will be added to fourth-quarter results.

The unit is expected to get regulatory approval for the stake sale by the end of this month, the company said in a statement.

Dubai’s developer Deyaar helped lift the emirate’s index by 0.2 percent in late trade.

Deyaar jumped 4.2 percent after saying it returned to profit in the second quarter, as it handed over homes from recently completed projects.

District cooling firm Tabreed ended 2.1 percent higher having risen by as much as 4.7 percent in earlier trade.

It posted a 9-percent rise in second-quarter net profit on Thursday.

Dubai’s gains were limited with bellwether Emaar Properties ending 1.1 percent lower.