Dubai: The Dubai bourse’s index rose 1.17 per cent on Wednesday driven by gains in heavyweight Emaar whose share prices climbed on expectations of strong quarterly results.
The Dubai Financial Market (DFM) index closed at 2,687.23, with Emaar accounting for nearly 40 per cent of the total trade values across the market. Its share prices went up 3.47 per cent to reach Dh4.77.
Vrajesh Bhandari, senior portfolio manager at Al Mal Capital’s asset management arm, said that with the end of the second quarter of 2019, investors are now awaiting earnings, which should start coming in soon. In Dubai, investors, he said, are expecting strong numbers from Emaar after it had successful project launches this last quarter.
“Right now there’s also rotation of money from Saudi Arabia and Kuwait to potentially the UAE. A lot of money had gone into both Saudi and Kuwait ahead of the MSCI and FTSE index inclusion, but now that that’s done and dusted, you have investors rotating from there,” Bhandari told Gulf News.
Elsewhere, the Abu Dhabi Securities Exchange (ADX) general index inched up 0.09 per cent to close the day’s trade at 5,026.74. It was buoyed by Aldar Properties whose shares were the most actively traded in the market as it announced that it has partnered with the Abu Dhabi government to deliver projects worth Dh5 billion. Its share prices gained 2.03 per cent.
Other blue chips in the market were also actively traded including Etisalat whose share prices rose 0.24 per cent.