Traders at the Abu Dhabi stock market. Image Credit: Ahmed Kutty/Gulf News archives

Dubai: Traded value jumped to Dh1 billion mark on Wednesday as banks led by First Abu Dhabi Bank (FAB) staged a strong comeback in last hour of trade. Wahat Al Zaweya Holding contributed the most to the volumes.

The Abu Dhabi Securities Exchange general index snapped a eight session losing streak, and closed flat at 5,123.94 after losing as much 1 per cent in trade.

Traded volume stood at Dh1 billion or 459 million shares, nearly eight times of its 30-day average and the highest level since August 2018. Wahat Al Zaweya Holding witnessed the maximum volumes in trade of 426 million shares or Dh237 million, about 16 times of its 30-day average. Wahat Al Zaweya Holding shares closed 1 per cent higher at Dh2.35.

“Trading volume seem to be driven by Wahat Al Zaweya Holding, not very sure why,” Chiro Ghosh, Vice President, Financial Institutions at SICO Bank told Gulf News.

FAB shares witnessed a sharp recovery in late trade on Wednesday, causing the Abu Dhabi index to snap its eight-day losing streak. Real estate shares continued extending losses in Dubai.

FAB fell as much as 1.9 per cent before recovering from its 50-day moving average of Dh15.30, and closed at Dh15.70, up 0.64 pct. FAB has seen a decline of 10 per cent from high of Dh16.96 hit on April 23. Traded volume came in at 3.8 million shares.

“Abu Dhabi based banks reported only a moderate result in the first quarter, with evident funding cost pressure. More stimulus by Abu Dhabi Government and/or Adnoc would be positive for the banks,” Ghosh said.

Abu Dhabi Commercial Bank (ADCB) fell a maximum of 2.2 per cent to Dh8.90, before recovering to Dh9.10. ADCB fell 13.26 per cent from a high of Dh10.26 hit on April 30.

Real estate companies were hit on Dubai bourse. Emaar Properties closed 1.49 per cent lower at Dh4.63, while Damac Properties ended 2 per cent lower at Dh1.1.

Emaar Malls closed 0.6 per cent weaker at Dh1.63. DP World closed 3.13 per cent lower at $18.55. Gulf Finance House ended 1 per cent lower at Dh1. The Dubai Financial Market general index closed 0.48 per cent lower at 2,712.87.

In other stocks, Salama Insurance extended losses for another session. Salama Insurance fell 0.18 per cent lower at Dh0.555, a day after the company denied any merger plans. Elsewhere in the Gulf, Saudi Tadawul index was 0.8 per cent lower at 8,894.45.