Abu Dhabi: Profit taking dropped the ADX Securities Index 0.56 per cent on Monday to end at 5,134.22. The DFM General Index rose 0.08 per cent to end at 4,763.02.
Adel Al Hammadi, an independent investor, attributed the drop in the capital’s index to the improved performance of real estate companies.
“Real estate in Abu Dhabi has been doing very well so people are selling their stocks to make profit. Also, due to the sell-offs in America last week, some investors are selling their shares,” he said.
Al Hammadi attributed the rise in the Dubai market to the return of many investors to the market, who are being drawn by tempting prices.
As for projections, he said that Morgan Stanley’s upgrade of the UAE and Qatar the emerging markets status, due in May, will only affect certain stocks.
“There’s foreign liquidity entering the market because foreigners see the UAE as a low risk market with high potential, so that should drive change soon,” said Al Hammadi,
In Abu Dhabi, Waha Capital registered the largest change with a drop of 4.79 per cent. Aldar Properties also decreased 1.64 per cent, but Ras Al Khaimah Properties rose 1.38 per cent.
Dubai’s Gulf General Investments Co decreased 0.83 per cent, while Emaar climbed 0.49 per cent, and Dubai Financial Market increased 1.13 per cent.
Of the 33 stocks traded on the ADX, 18 declined, eight advanced, and seven remained unchanged. On the DFM, of the 32 stocks traded, 17 went down, 12 advanced, and three remained flat.
