Dubai: Small stocks on the Dubai bourse tumbled on Thursday on profit-taking as bluechips took the lead.
Gulf Finance House fell 5.78 per cent to Dh2.61, while Union Properties closed 4.42 per cent lower at Dh1.08. Air Arabia tumbled 9.35 per cent to close at Dh1.26. After reporting a quoting a quarterly loss. HITS Telecom closed 3.02 per cent lower at Dh0.802.
“We saw some flow in the large cap stocks like the banks, property but small cap stocks saw profit-taking,” said Sanyalaksna Manibhandu, director Research, National Bank of Abu Dhabi Securities.
“Air Arabia results were disappointing, so that may have dented confidence in mid-cap stocks,” Manibhandu added.
Among the bluechips, Emaar Properties closed 1.32 per cent higher at Dh7.68. Dubai Financial Market shares closed 4.38 per cent higher at Dh1.43. The Dubai Financial Market General Index closed 1.16 per cent lower at 3,682.81. Out of a total of 36 stocks traded on the exchange, shares of 31 firms fell, while another 5 rose.
The Abu Dhabi Securities Exchange General Index closed 0.1 per cent lower at 4,569.49.
Sharjah Islamic Bank closed 3.23 per cent lower at Dh1.50, while etisalat closed 0.28 per cent lower at Dh17.75. RAK Properties closed 2.53 per cent lower at Dh0.77. Among the gainers, Finance House closed 9.88 per cent higher at Dh1.89. National Bank of Abu Dhabi closed 1 per cent higher at Dh10.10.
Going ahead, the focus would be on dividend stocks.
“The dividend trade doesn’t end until early March. Between now and then we will see rotation on a few days daily basis. Trade will go to dividend stocks where yields have become attractive,” Manibhandu said.
“This would last in early March, and we would see profit-taking. And they come back in when they see the first quarter results,” Manibhandu added.
Elsewhere in the Gulf, Saudi Arabia’s Tadawul index closed 0.03 per cent higher at 6,969.26. The Qatar exchange index closed 0.23 per cent lower at 10,629.13.
The Muscat MSM 30 index closed 0.12 per cent lower at 5,819.520.
