DFM gains 1.1% as trades hit Dh1.5b

UAE BOURSES RISE AS TAQA LEADS GAINERS IN ABU DHABI WITH 9.38% INCREASE

The Dubai Financial Market (DFM) index rose 1.11 per cent yesterday to 4,086.83, with trade values hitting to Dh1.5 billion — more than double the value seen on Monday — on the back of Amlak’s soaring share prices that rose 12.55 per cent.

Meanwhile, the Abu Dhabi Securities Exchange (ADX) general index rose 0.92 per cent to 4,723.23.

In Dubai, trade concentrated on Amlak while other powerhouses saw slight changes in share prices, ending mostly in the green. Arabtec gained 3.54 per cent, Emaar rose 1.55 per cent, Union Properties went up 1.67 per cent, and Dubai Islamic Bank was 2.09 per cent higher. Gulf Finance House fell 0.83 per cent.

Analyst Osama Al Ashri said the market was still low-risk despite having one company dominating trade values.

“The DFM index’s nearest support level is 3,955, which could then take the index to 3,788 should it be reached. But [the index] isn’t too close to the 3,955, so I’m not too worried. I think the 4,086 is actually a great closing level for this month.

“The market reached a low of 3,230 during the past quarter, so we’re far from that. Based on today’s closing level, I think the next quarter could see the index at new highs,” the analyst, a member of UK organisation, Society of Technical Analysts, said.

Greece impact

He added, however, that if the Greece crisis continues to heat up, European markets could fall, which will then take a toll on the UAE’s stocks.

As for Amlak, Al Ashri said that the share prices have a resistance level of Dh2.79 (Dh0.01 away from their closing price on Tuesday), which could then take them to Dh3.17 — a likely price point.

In the capital, Abu Dhabi National Energy Company (Taqa) topped the gainers’ list with a 9.38 per cent increase, followed by the National Bank of Abu Dhabi with 3.29 per cent, Agthia Group with 2.48 per cent, and Aldar Properties with 2.26 per cent.

Of the 36 stocks traded on DFM, 19 rose, 10 fell, and seven remained unchanged.

Of the 30 traded stocks on ADX, 11 rose, 10 fell, and nine remained flat.