Dubai and Abu Dhabi stocks eased back in early trade on Monday, with banking and real estate stocks leading the losses after three days of rally lured investors into booking profits on their positions. Dubai Financial Market pulled back 0.4 per cent as its top lender Emirates NBD shed 2.2 per cent to trade at Dh11.4, while Emaar Development retreated 1.1 per cent.
Islamic Arab Insurance dropped 0.9 per cent, after it reported Dh308.1 million in accumulated losses. This representing 25.5 per cent of its capital. The board is implementing a three-pronged strategy aimed at turning around the financials, which targets improvements to core business profitability, enhance investment income, and introduce superior corporate governance standards.
The Abu Dhabi Securities declined slightly with Abu Dhabi Commercial Bank and Aldar Properties trading lower by 0.8 and 0.6 per cent, respectively, though the index received some support from Abu Dhabi Islamic Bank and First Abu Dhabi Bank.
"The Dubai government had declared on Saturday that it would increase its tourism and hotel capacity by 134% over the next 20 years," Stark added.
Kuwait's premier index edged up 0.1 per cent to 6,305 points. Logistics firm Agility gained 2.8 per cent after its board recommended 10 fils per share full-year dividend to shareholders, up from 5 fils it paid out last year. The dividend payout comes despite full-year profit more than halving to KD41.6 million, which the company blamed on the impact of COVID-19 on its operations. The profits further took a hit as it suffered a loss amounting to KD28 million against Amghara land in Kuwait, which ran into a legal dispute.
Oman's 30-company index traded 0.2 per cent higher to 3,735 points bolstered mainly by the banking stocks. The heavyweight lender Bank Muscat eked out 0.9 per cent continuing its rise after selling $500 million in five-year bonds benefiting from low interest rates amid liquidity provided by government aid packages.