Shares in Dubai, Abu Dhabi decline

Dubai

Shares on the Dubai Financial Market (DFM) fell yesterday on profit-booking by investors after a sustained rally.

The DFM index fell 0.14 per cent to close at 1,691.82, although the value of shares traded on the market exceeded Sunday’s.

Yesterday, the investors sold shares in real estate major Emaar, Drake & Scull Int, Air Arabia and Tamweel in the absence of a strong catalyst, which resulted in the index closing the negative territory.

Experts say, the recent bull run on the market triggered by US lawmakers reaching a partial budget deal might still have legs to it and Monday’s pullback could well be precursor to the market moving higher in the days ahead. The market index could well go past the psychological 1,700 mark over the next few trading sessions, if the global macro-economic indicators don’t trigger a sell-off on the global financial markets.

Around 301.99 million shares, cumulatively worth about Dh374.87 million were traded on the Dubai market yesterday. Emaar’s shares cumulatively valued at around Dh46.23 million were traded, its stock closing 0.25 per cent lower at Dh4.00.

Of the 29 company stocks traded yesterday, 11 rose, while 15 fell and 3 closed unchanged. The day’s top gainer was again Salam_Bah — Al Salam Bank — Bahrain, its stock rising a further 14.86 per cent to close at Dh0.773. The stock had gained 5.65 per cent on Sunday. Takaful-EM was the day’s main loser, its shares fell 2.77 per cent to close at Dh0.632. The shares Emaar were the most traded by value, while Salam_Bah — Al Salam Bank — Bahrain’s shares were the most traded by volume.

By Himendra Mohan Kumar

Staff Reporter

Abu Dhabi

The Abu Dhabi Securities Exchange (ADX) general index marginally declined yesterday as investors sold shares to book profits after several gainful trading sessions. The bullish signs on the market, however, remain intact and the move downward could well be a healthy correction before more upside moves are triggered in the days ahead.

The general index fell 0.15 per cent yesterday to close at 2,705.67. The cumulative value of share transactions yesterday fell below Dh122 million after exceeding Dh165 million on Sunday.

Telecommunications major Etisalat’s stock, which has a high weightage on the index, closed unchanged yesterday at Dh9.07. Investors yesterday sold shares in banks, real estate, energy and insurance companies which pushed the index towards the negative territory. Around 97.27 million shares were traded, valued at about Dh121.48 million. Of the 33 company stocks traded, only 10 advanced, while 14 fell and 9 closed unchanged.

The Abu Dhabi market earlier had been witnessing a rally in the new year in line with other global markets after a deadlock in the US budget talks was broken and lawmakers agreed to increase tax rates for high income earners in the world’s largest economy.

Experts say the Abu Dhabi market could witness greater upside moves in the foreseeable future, if the proposed merger of the emirate’s top real estate companies Aldar and Sorouh comes through. This would be the catalyst the market has been looking for to woo more foreign participants into the market, experts say.

The stock of Aldar Properties closed unchanged yesterday at Dh1.40. About 9.48 million shares of Aldar, cumulatively worth about Dh13.28 million changed hands on the market. Sorouh Real Estate’s shares, meanwhile, fell, closing 0.72 per cent lower at Dh1.38.

The top gainer on the Abu Dhabi market yesterday was Gulf Medical Projects Company, its shares closing 6.62 per cent higher at Dh1.45. National Bank of Fujairah was the top loser, its stock ending the day 9.94 per cent lower at Dh4.71. The shares of Etisalat were the most traded in terms of value while Eshraq’s shares were the most traded by volume.

By Himendra Mohan Kumar

Staff Reporter

-0-