Abu Dhabi: The Dubai Financial Market (DFM) index broke through 1,650, a key support level yesterday as banks reported higher than expected third quarter profits. However, the volume of trade was abysmally low with less than Dh88 million worth of shares traded.
Yesterday investors bought major stocks such as real estate major Emaar and construction major Arabtec, which spurred the index’s gains.
Analysts say if the market manages to break the 1,680 resistance level, it would start a bull run provided global macro-economic indicators do not take a turn for the worse.
The DFM index closed yesterday at 1,654.42, up 0.66 per cent. Around 62.86 million shares, cumulatively worth about Dh87.57 million were traded on the Dubai stock market yesterday. Around 7.73 million shares of Emaar, cumulatively valued at around Dh28.56 million were traded, its stock closing 1.36 per cent higher at Dh3.73. Arabtec’s shares also gained, by 0.78 per cent, closing at Dh2.60.
Of the 29 company stocks traded yesterday, 14 rose, while 8 fell and 7 closed unchanged. The day’s top gainer was telecommunications company Du, its stock rising 2.75 per cent to close at Dh3.74. DEPA was the day’s main loser, its shares fell 11.07 per cent to close at Dh0.249. The shares of Emaar were the most traded by value while Gulf Finance House’s stock was the most traded by volume.
The Abu Dhabi Securities Exchange (ADX) general index fell marginally yesterday as investors sold real estate shares and booked profits after banks reported better than expected third quarter net profits.
The stock market index, however, managed to close above psychological 2,650 level which may spur upside moves next week if more bluechip companies declare higher third quarter profits than the market’s expectations.
The ADX general index closed yesterday at 2,652.44, down 0.13 per cent even as the volume of trade fell significantly with the overall value of share transactions falling well below Dh65 million from about Dh129 million on Wednesday, with investors offloading positions in nearly all major stocks.
Around 48.14 million shares, cumulatively valued at about Dh64.8 million were traded yesterday. Of the 29 company stocks traded, 8 advanced, while 14 fell and 7 closed unchanged.
The stock of Abu Dhabi’s real estate major Aldar Properties closed 0.72 per cent lower at Dh1.37 as investors booked profits. About 7.34 million shares of Aldar, cumulatively worth about Dh10.04 million changed hands on the market. Sorouh Real Estate’s shares also fell, by 1.53 per cent, ending the day at Dh1.29.
The top gainer on the Abu Dhabi market yesterday was National Marine Dredging Company, its shares closing 3.5 per cent higher at Dh10.35. GCIC was the day’s top loser, its stock falling 9.38 per cent to close at Dh0.29. The shares of Etisalat were the most traded in terms of value while GCIC’s stock was the most traded by volume.
