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The Dubai bourse’s main index inched up 0.5 per cent on Monday after Emaar reported higher third-quarter profits Image Credit: Gulf News File

The Dubai bourse’s main index inched up 0.5 per cent on Monday, as Emaar rose after reporting higher third-quarter profits, which helped push its peers higher as well.

The Dubai Financial Market (DFM) index closed up 13.5 points at 2,673.7, while Abu Dhabi’s ADX edged down 0.1 per cent.

The index, which closed bearish on Sunday, is headed towards 2,620 points in the near term, analysts at FAB Securities indicated in a note. The analysts added that the ADX will continue to trade in a fairly stable and tight range.

Shares in Emaar were up 1 per cent, the biggest gainer on the DFM, after the real estate giant posted a 20 per cent jump in third-quarter profits as more demand from foreign investors and first-time home buyers pushed property sales higher.

The results led to gains in other property peers’ shares, which collectively led to a 0.9 per cent rise in the sector index.

The markets welcomed the results given the backdrop of a protracted real-estate slowdown in the country, where the supply glut has sent housing prices sliding by at least a quarter since mid-2014.

Emaar’s spin-off Emaar Development rose over 3.9 per cent higher, a day after closing down over 7 per cent on being removed from popular benchmarks — MSCI Emerging Markets Index.

Air Arabia advanced 1.4 per cent as its third-quarter profit soared 57 per cent, as the United Arab Emirates’ only listed airline saw its passenger numbers climbing 10 per cent at its four hubs.

Dubai’s largest bank Emirates NBD’s recently-launched rights issue, aimed at raising Dh6.45 billion by placing 758.8 million shares at Dh8.5 apiece, continued to trade at a heavy discount, and closed down 5.6 per cent at Dh2.55 on Monday.

Abu Dhabi Islamic Bank (ADIB) shares dropped about 1 per cent as investors grew wary of the company upping investments in digital, even as it reined in costs to push profits higher in the third-quarter.

Saudi Arabian shares extended their gains for a third consecutive day.