Dubai: Dubai stocks gained nearly one per cent on Tuesday helped by rebounding oil prices.
The Dubai Financial Market General Index closed 0.95 per cent higher at 3,390.56, after hitting a high of 3,395.37.
“The reason for the upmove was because of oil prices rebounding significantly on Monday, and that pushed market sentiment to be on a bullish side,” said Musa Haddad, equity fund manager at NBAD’s asset management group.
Brent crude prices jumped more than 3 per cent to hit its highest level of 2016 on Monday of over $53 per barrel, after Russia and Saudi Arabia both said a deal between the Organization of the Petroleum Exporting Countries (Opec) and non-Opec members like Russia in curbing crude output was possible.
In stock specific action, Drake and Scull rose to extend gains for another session after the appointment of a new chief executive officer. DSI gained 4.22 per cent to close at Dh0.494.
Dubai Entertainment, which was the most active stock in trade, closed more than 4 per cent higher at Dh1.54. Gulf Finance House closed more than 3 per cent higher at Dh1.08.
Emaar Properties closed 0.58 per cent higher at Dh6.92 after the announcement of the world’s tallest tower. Among others, Dubai Islamic Bank closed 0.70 per cent higher at Dh5.32. Out of a total of 35 stocks traded on the exchange, shares of 31 firms rose, while other two fell.
Next catalyst:
The next catalyst in the market would be earning season, said Haddad, adding “if we are looking at the medium to long-term perspective, we are positive on markets because of attractive valuations, but volatility would continue.”
The Abu Dhabi Securities Exchange General Index closed 0.31 per cent lower at 4,373.88. In the rest of the Gulf, Saudi Arabia’s Tadawul index closed 1.46 per cent higher at 5,655.61. Muscat Securities MSM 30 index closed 0.30 per cent higher at 5,703.56. Qatar exchange index closed 0.25 per cent higher at 10,431.25. Kuwait Stock Exchange index closed 1.05 per cent higher at 5,350.37.
