Dubai: Abu Dhabi’s main equity index continued to see-saw on Thursday, falling by 1.26 per cent mainly due to a decline in First Abu Dhabi Bank’s (FAB) share price.
The index closed at 5,107.76, after climbing by around 1.9 per cent on Wednesday, and falling 1.16 per cent a day earlier amid fluctuations in FAB’s prices. Analysts said that the fluctuations are likely caused by large investors moving shares from one account to another, rather than because of any fundamental reasons.
The blue chip’s share price fell by 2.69 per cent on Thursday, and was among the most actively traded stocks in Abu Dhabi. FAB last week reported a 3 per cent increase in its net profit for the third quarter of 2019, and said it was on track to achieve “record performance” in 2019 despite a “more challenging global and regional outlook.”
Share prices of Etisalat, which also has a strong weighting on the main index, slid by 0.24 per cent.
Dubai’s main stocks index slid 0.28 per cent to close at 2,746.93, with trade values weakening to just Dh157 million. Blue chips Emaar and Dubai Islamic Bank both saw their share prices decline, with Emaar down 0.93 per cent and DIB ending 0.38 per cent lower.
The drop in both the UAE indices comes even as global stocks hit new highs, with the S&P 500 index in the US closing at 3,046.77 on Wednesday after the Federal Reserve cut interest rates for the third time this year.