Dubai: Dubai’s stock benchmark index rode on the back of significant gains of a few bigger stocks amid positive sentiment after two senior officials of the emirate said the merger process of the two UAE markets is progressing and once it happens it’s going to be positive.
“I can see something will happen soon to clarify the way forward,” Mohammad Al Shaibani, chief executive officer of the Investment Corp of Dubai said in London yesterday. Shaikh Ahmad Bin Saeed Al Maktoum, chairman of Dubai’s Supreme Fiscal Committee, had said on the sidelines of Global Aerospace Summit in Abu Dhabi on Monday that dialogue is going on and once it is finalised will be a “very positive” development.
The DFM General Index rose 1.92 per cent to end at 4743.40. Some of the bigger names such as Emirates NBD, Arabtec and Dubai Financial Market saw significant gains that tilted the index into the positive, even though more stocks closed lower. Of the 31 stocks traded, 11 advanced, 16 declined and four remained flat.
“DFM [stock market index] was up indeed on the back of a few heavyweights rising,” said Amer Khan, director at Shuaa Asset Management. “Retail flow continues to dominate Arabtec, DFM rose on the back of renewed enthusiasm about the merger with ADX.”
Arabtec rose 6.05 per cent, DFM climbed 3.85 per cent and Emirates NBD was up 6.79 per cent.
The capital’s index, ADX Securities Index, dropped 0.11 per cent to 5006.86. Of the 37 stocks traded, 17 fell, 13 increased and seven remained unchanged. Aldar Properties added 0.52 per cent and Waha Capital was flat.
