Strong performance on international markets spurs UAE stocks

Dubai’s benchmark index (DFM) rose for a third day since Monday’s four-month low to close 0.53 per cent at 1463.69 points yesterday as improved global sentiment spurs traders to target the more liquid stocks for a quick profit.

About 111.58 million shares worth Dh103.85 million were traded yesterday.

Of the 27 companies traded, 20 rose, five declined and two closed unchanged.

The DFM index has surged 8.15 per cent so far this year and fell 0.53 per cent this month.

“Yesterday’s strong performance on international markets is helping sentiment here,” said Marwan Shurrab, vice-president and chief trader at Gulfmena Alternative Investments, said.

“I would expect to see some selling pressure as investors look to reduce their risk exposure throughout the session.”

Among the gainers, Salam Bahrain rose 4.66 per cent, followed by Tamweel by 2.68 per cent and Tabreed by 2.56 per cent.

Among the losers, Depa fell 2.22 per cent, followed by Ekttitab by 1.74 per cent and GGICO by 1.01 per cent.

_ Naushad K. Cherrayil/Staff Reporter

The Abu Dhabi Securities market (ADX) index rose 0.18 per cent to close at 2439.65 points.

Of the 25 companies traded, 12 rose, six declined and seven closed unchanged.

About 55.29 million shares worth Dh76.52 million were traded yesterday.

“Following the rebound in international markets, the UAE is shadowing the positive sentiments as investors are expecting a new round of quantitative easing from the US,” said Tariq Qaqish, deputy head of asset management at Al Mal Capital.

Among the gainers, Waha Capital rose 5.48 per cent, followed by RAK Cements by 2.82 per cent and Sharjah Islamic Bank by 2.38 per cent.

Among the losers, United Arab Bank lost 9.55 per cent, followed by AGTHIA by 6.07 per cent and Green Crescent Insurance Company by 3.45 per cent.

“Turnover is extremely low, so this is not institutional money, or at least not to a high degree - if some institutions are taking positions they are not being aggressive,” said Marwan Shurrab, vice-president and chief trader at Gulfmena Alternative Investments.