Most of Gulf markets end higher

Dubai heads towards technical resistance

DUBAI, April 4, (RTRS): Investors in most Gulf stock markets shrugged off further losses in oil prices on Monday, while foreign buyers helped to lift Egypt’s bourse.

Riyadh’s index recouped most of the previous day’s drop and rose 1.4 percent, as local retail investors bought back speculative stocks that they had dumped on Sunday. The insurance sub index jumped 2.3 percent after tumbling 3.5 percent on the previous day.

The petrochemical sector also rebounded, adding 1.5 percent as Saudi Basic Industries, the largest listed petrochemical producer, added 2.0 percent.

Almarai, the biggest dairy producer in the Gulf, added 1.0 percent. The company said shareholders had approved a capital increase for the company through an issue of bonus shares.

Saudi Airlines Catering added 2.0 percent after the company said it had signed a contract with Saudi Airlines Real Estate Development Co to provide catering and other entertainment services for the Saudia Hotel.

Telecommunications firm Zain Saudi rallied 9.5 percent to 9.20 riyals; Riyad Capital issued a note on Monday affirming its “hold” rating for the stock with a price target of 9.50 riyals. The mean price target of three analysts polled by Thomson Reuters, including Riyad Capital, is 9.25 riyals.

“We believe that Zain will be able to strongly grow its subscriber base to reach 12.4 million subscribers in the first quarter of 2016,” said the note.

The Dubai index jumped 2.3 percent to 3,379 points, nearing technical resistance on the March peaks of 3,397-3,421 points as momentum started to build in the latter half of the session, with volume hitting a threeweek high.

Builders Drake and Scull and Arabtec each rallied over 6.5 percent and attracted 56 percent of total trading volume combined.

Blue-chip companies have been largely dormant for several weeks as local speculative traders continue to steer markets. Emaar Properties rose 2.6 percent in modest volume.

Abu Dhabi National Energy Co (TAQA) jumped 13 percent after a 6.1 percent loss on Sunday. Last week the energy company reported a narrower fourth-quarter loss. Dana Gas added 3.9 percent.

But telecommunications firm Etisalat, the largest listed company by market value, dipped 0.5 percent. Its shares will go ex-dividend on Tuesday.

Doha’s benchmark edged down 0.2 percent in a second day of lethargic trade. Oil rig provider Gulf International Services fell 1.0 percent.

Egypt’s main index, which initially fell, ended 0.7 percent higher in modest volume as foreign investors were net buyers, bourse data showed.

Stocks preferred by international asset managers rose with Commercial International Bank and Global Telecom Holding, adding 1.7 and 1.3 percent respectively.

Saudi Arabia

■ The index gained 1.4 percent to 6,211 points.

Dubai

■ The index rose 2.3 percent to 3,379 points.

Abu Dhabi

■ The index added 0.6 percent to 4,385 points.

Qatar

■ The index fell 0.2 percent to 10,234 points.

Egypt

■ The index rose 0.7 percent to 7,577 points.

Kuwait

■ The index edged down 0.1 percent to 5,202 points.

Oman

■ The index added 1.4 percent to 5,563 points.

Bahrain

■ The index gained 0.7 percent to 1,134 points.