Abu Dhabi shares rose to the highest in more than three months, leading gains in Persian Gulf markets, as the Dubai World settlement bolstered investor confidence and oil traded near a one-month high. National Bank of Abu Dhabi PJSC, the United Arab Emirates’ second-largest bank, climbed to the highest since May. First Gulf Bank PJSC, the lender controlled by Abu Dhabi’s ruling family, rose 4.2 percent. Abu Dhabi’s ADX General Index gained 1 percent to 2,593.24, the highest close since May 31. Saudi Arabia’s Tadawul All Share advanced 1 percent at 1:48 p.m. in Riyadh, as the bourse opened for the first time since Sept. 6. Dubai World, one of three main state-owned holding companies, said Sept. 10 it received approval from creditors to alter the terms on $24.9 billion of debt. The cost of insuring against default on debt sold by Dubai’s government declined for a fifth day, dropping to 435.5, the lowest level since May 13. Dubai’s DFM General Index fell 0.7 percent, trimming the gain for the month to 9.2 percent. “The Dubai World settlement gave a dose of confidence to investors,” said Ziad Dabbas, financial analyst at National Bank of Abu Dhabi. Share prices in the Persian Gulf country are “cheap” and “the oil prices are giving the market a positive indication,” he said. Shares in Abu Dhabi’s index trade at an average estimated price-to-earnings ratio of 8.9, while the 32 members of Dubai’s benchmark are valued at 6.2 times projected earnings. That compares with 12.5 for the MSCI Emerging Market Index, according to data compiled by Bloomberg. ------------- Muslim holiday Oil traded at $76.73 a barrel amid speculation demand for fuel will rise after a forecast for higher European economic growth and Chinese industrial production expanded. Abu Dhabi, the richest of seven sheikdom’s that make up the U.A.E., holds about 7 percent of the world’s proven oil reserves and Persian Gulf countries about 40 percent. National Bank of Abu Dhabi gained 2.1 percent to 12 dirhams, the highest level since May 13. First Gulf Bank climbed to 14.9 dirhams. The Kuwait SE Price Index advanced 1 percent as the country’s bourse opened for the first time since Sept. 8. Exchanges in Qatar, Oman and Bahrain remain closed for the Muslim Eid holiday that marks the end of Ramadan.