Dubai: UAE indices extended losses for another session, snapping a gaining streak on account of mild profit-taking, joining its peers in the emerging markets.

The Dubai Financial Market General Index closed 0.85 per cent lower at 3,556.62. The index, which rallied from the low of 3,430 has gained, 5.64 per cent until Tuesday’s intraday high of 3,623.7. The Abu Dhabi Securities Exchange index closed 0.38 per cent lower at 4,525.36.

“The stock market has been going up sharply, and unexpectedly in the past 10-12 sessions, so there was a mild profit-taking at the high end of the range,” Sanyalaksna Manibhandu, director Research, National Bank of Abu Dhabi Securities, told Gulf News.

The next support was placed at 3,500 levels on Dubai index, said Talal Touqan, head of research and advisory at Al Ramz Capital.

In stock specific action, Emaar Properties witnessed mild profit-taking. The stock closed 1.09 per cent lower at Dh7.26, and was the most-active stock in trade. Dubai Parks and Resorts closed more than a per cent lower at Dh1.67. Dubai Islamic Bank closed 0.54 per cent lower at Dh5.57. Out of a total of 35 stocks traded on the exchange, shares of 25 firms fell, while other 6 rose.

In Abu Dhabi, Eshraq Properties closed 1.35 per cent lower at Dh0.75, while Aldar Properties fell more than a per cent to be at Dh2.85. Methaq closed 2 per cent lower at Dh2.17. Out of a total of 33 stocks traded on the exchange, shares of 15 firms fell, while other 11 rose.

More support

“We need to see more support from the outside. We need news domestically to keep people going. The next big thing would third quarter numbers,” Manibhandu said.

The third quarter numbers would be published in late October or early November.

In other markets in the Gulf, Saudi Arabia’s Tadawul index closed 1.71 per cent lower at 6,220.29, leading losses in the region. Qatar exchange index closed 0.33 per cent higher, extending gains for another session. The index closed at 11,408.75. The index gained more than 2 per cent in the previous session after FTSE Russell relaxed the liquidity requirement on stocks.

“There would be a brief spell of buying and it would die down. If you look at the Qatar banking system, it has the highest advance to deposit ratio which means that liquidity is not there in the banking system. So in the first place it shouldn’t go this much higher,” said Manibhandu.

The upgrade is expected to result in a weight of 59 basis points, and would result in passive flows off $410 million in the first phase, according to Jaap Meijer, Managing Director Research at Arqaam Capital.

Muscat Securities MSM 30 index closed 0.12 per cent higher at 5,894.05.