Dubai: Dubai index extended losses on Monday as heavy weight Emaar Properties fell below the keenly watched Dh8 level.
Emaar Properties hit a low of Dh7.91, its weakest level since July 16, before closing 1.83 per cent lower at Dh8.04.
“The stock fall in Emaar Propeties was not a surprise for us. Traders opting to buy on dips must place a protective stop loss just below the support level of Dh7.80,” said Shiv Prakash, senior analyst with National Bank of Abu Dhabi Securities (NBADS) in a note. NBADS had a technical sell at Dh8.60 on October 18.
Traded value stood at. Dh91 million, contributing to 21 per cent of the total value of Dh460 million.
Weakness in Emaar triggered fresh round of selling in other stocks in Dubai.
Dubai Investments closed 3.89 per cent lower at Dh2.47. Dubai Islamic Bank closed 0.8 per cent lower at Dh6.01.
Air Arabia closed 0.79 per cent lower at Dh1.25. “We believe the stock (Air Arabia) still presents a good buying opportunity from current levels with a decent reward/risk set-up for medium-term investors. The stock may target its previous high at Dh1.49,” Prakash said.
The Dubai Financial Market General Index closed 1.16 per cent lower at 3,544.08. Amanat, Union Properties along with Gulf Finance House closed in the positive zone. GFH closed 1.89 per cent higher at Dh1.58. Amanat closed 1.69 per cent higher at Dh1.20.
The Abu Dhabi Securities Exchange general index closed 0.35 per cent lower at 4,435.21. Abu Dhabi Aviation closed 6.67 per cent lower at Dh2.80. RAK Bank closed 3 per cent lower at Dh4.80.
Elsewhere in the Gulf, the Muscat MSM 30 index closed 0.47 per cent higher at 5,079.20. The Qatar exchange index closed 1.38 per cent lower at 8,014.71.
Saudi’s Tadawul index falls more
The Tadawul index recovered from its intra-day low to end higher.
The Tadawul index fell to a low of 6,859.34, before closing flat at 6,979.73. Al Tayyar Travel, whose founder was reportedly arrested, closed 10 per cent lower at 29.85 Saudi riyals. Kingdom Holding closed 5.26 per cent lower at 9 riyals.