UAE markets calm down as Sunday panic subsides

Dubai: The panic witnessed on Sunday subsided yesterday with the Dubai Financial Market General Index closing unchanged at 4,473.68. The volumes dropped 17 per cent to 222.74 million shares and the value traded also fell 22 per cent to Dh824.91 million.

Buying was seen initially though it could not hold on to the momentum. Foreign investors were net buyers, while local and regional investors were net sellers.

The Abu Dhabi Securities Exchange Index closed 0.47 per cent higher to end at 4,168.97. Volumes declined seven per cent to 90.09 million shares, though the traded value went up three per cent to Dh575.93 million.

"At those low levels, there was some accumulation by both institutional and retail investors," said Tariq Qaqish, fund manager, asset management, Al Mal Capital. "After yesterday's fall, the markets are expected to see a few days of consolidation. The third quarter earnings results starting end of the month will be the catalyst for the markets to move upside. The current prices are very attractive and they are already discounted for any risk parameters."

Of the 25 stocks traded on the Dubai market, 13 advanced, 10 declined and two remained flat. Some of the gainers included Air Arabia, Amlak Finance, Aman, and Dubai Islamic Bank. Emaar Properties closed at Dh8.07, almost unchanged after Sunday's close at Dh8.08. The trend for the stock remains bearish. Takaful-Em and dartakaful witnessed good volumes and closed higher at Dh3.66 and Dh2.22.

In Abu Dhabi, 39 stocks traded, and 26 gained, 10 went down and three remained unchanged. First Gulf Bank made a tidy recovery, gaining 7.55 per cent to close at Dh19.95. Except Rak Properties, the other two real estate stocks also gained with Aldar Properties closing 2.28 per cent up at Dh8.51 and Sorouh Real Estate climbing 0.94 per cent to Dh6.43. eitislat fell 2.29 per cent to Dh17.10.