Dubai
UAE markets closed more than 1 per cent lower on Sunday, joining the the emerging market rout witnessed after a surprising US election outcome.
Emerging markets have suffered since Trump won the US elections, as the new president elect looks rebuilding the US economy, and safeguard jobs, which many analysts see as an indication to protectionism.
“If we continue seeing a sell off in emerging markets in east Asia, we may have a weaker Gulf equities,” said Sanyalaksna Manibhandu, director Research, National Bank of Abu Dhabi Securities.
On Sunday, the Dubai Financial Market General Index closed 1.26 per cent lower at 3,232.94, while the Abu Dhabu Securities Exchange General Index closed 1.09 per cent lower at 4,235.68. The MSCI emerging market index closed down 3.03 per cent on Friday.
In the UAE, the focus was still on smaller stocks. Gulf Finance House, which was the most-active stock in trade, fell 1.78 per cent to be at Dh1.66. Ajman Bank was down less than a per cent to be at Dh1.39. Dubai Entertainments clsoed 2.60 per cent lower at Dh1.50. Emaar Properties closed nearly 3 per cent lower at Dh6.50. Amanat closed more than 4 per cent higher at Dh0.970.
“We are still investors investing in smaller cap stocks as they have some positive stories in them,” Manibhandu said.
Out of a total of 35 stocks traded on the exchange, shares of 24 firms fell, while other 8 rose, the rest remained steady.
In Abu Dhabi, Aldar Properties closed more than 4 per cent lower, while National Bank of Abu Dhabi closed more than 2 per cent higher. Eshraq Properties closed more than 4 per cent higher at Dh1.07. Out of a total of 25 stocks traded on the exchange, shares of 11 firms rose, while another 12 firms fell. The rest remained steady.
Elsewhere in the Gulf, the Saudi Arabia’s Tadawul index closed more than 2 per cent after the index breached the technical barrier. The Tadawul index closed 2.07 per cent higher at 6,663.31. The Qatar exchange index closed 0.90 per cent lower at 9,871.73.
