Business | Markets
Finance shares lead DFM rally
UAE markets ended Thursday's session with mixed results, with the Dubai Financial Market (DFM) showing signs of improvement, while investors appeared to be more cautious in Abu Dhabi.
- By Ahmed A. Elewa, Staff Reporter
- Published: 00:52 February 1, 2008
Abu Dhabi: UAE markets ended Thursday's session with mixed results, with the Dubai Financial Market (DFM) showing signs of improvement, while investors appeared to be more cautious in Abu Dhabi.
DFM's benchmark index advanced by 1.5 per cent to 5,615.95 on moderate volumes as Dh2.67 billion worth of shares changed hands.
Impact
The financial services and banking sectors had the most positive impact on the market on account of the strong gains recorded by DFM and the leading banks.
The DFM scrip shot up 7.64 per cent to Dh5.78, on heavy trading worth more than Dh1.12 billion, while Dubai Islamic Bank advanced 3.76 per cent to Dh11.05, as investors reacting positively to the bank's strong net profit of Dh2.5 billion for 2007.
The largest listed bank in terms of market value, Emirates NBD, surged 4.66 per cent to Dh14.60. The Commercial Bank of Dubai recorded strong gains as well, to close 3.20 per cent higher at Dh12.90.
Emaar
With the exception of Emaar Properties, which continued the losing streak falling by 2.44 per cent to Dh12, most of the leading shares moved within a tight margin, including Deyaar Development, which advanced 0.40 per cent to Dh2.54, and du which retreated 0.36 per cent to Dh5.58.
"Dubai Islamic is not attractive solely on excellent earnings growth," said Hiba Azar, senior broker at Shaheen Financial Brokers. The bank's dividend "is also very generous".
In Abu Dhabi, the general index retreated marginally by 0.34 per cent to 4,569.58, on a relatively low value of trades worth Dh488 million.
Aldar Properties, which announced a 10 per cent dividend, fell 0.49 per cent to Dh10.25, yet the 1.44 per cent worth of losses recorded by the National Bank of Abu Dhabi had a more negative impact on the market, especially that etisalat was unchanged at Dh23.60.
Overall, more than Dh3.15 billion worth of shares changed hands, lifting the Emirates Securities general index up 0.61 per cent to 5,833.37, recording more than 3 per cent of losses for the month of January.
- With inputs from Bloomberg
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