Dubai: A four per cent slide in oil prices on Friday weighed on sentiment on UAE indices, starting the quarter on a weak note.
The Dubai Financial Market General index closed 1.56 per cent lower at 3,303.23, after falling to as low as 3,303.23.
“The fall (on UAE indices) was related to the fall in oil prices after last week’s comments from Saudi on production freeze,” said Sebastien Henin, head of asset management at The National Investor.
Last week, Saudi Deputy Crown Prince Mohammad Bin Salman said the kingdom will not freeze output without Iran and other major producers doing so. The comment led to a 4 per cent fall in oil prices.
In stock specific movements, construction majors like Emaar Properties, Arabtec and Union Properties fell in trade. Emaar Properties closed 2.16 per cent lower at Dh 5.89, while Union Properties closed 0.35 per cent lower at Dh 0.851. Arabtec closed 1.83 per cent lower at Dh 1.61. Out of a total of 29 stocks traded on the exchange, shares of 23 firms fell, while 5 others fell.
In Abu Dhabi, the index fell 0.87 per cent lower at 4,352.11. Eshraq Properties closed more than 2 per cent lower at Dh 0.75, while Taqa closed more than 4 per cent lower at Dh 0.47. Dana Gas closed more than 2 per cent lower at Dh 0.51. RAK Properties also closed more than 2 per cent lower at Dh 0.56. Out of a total of 26 stocks traded on the exchange, shares of 22 firms fell, while the other 3 rose.
Going ahead, “We still are holding the March highs very well and we are consolidating and in coming days we should hold these levels,” said Henin.
