Dubai index looks to DIB for stability

TRADING VALUE REMAINS LOW AS SMALL CAPS START TO REVERSE EARLIER GAINS

The Dubai index witnessed a leg down in the last 10 minutes of trade on yesterday as the Egyptian index tumbled more than 1 per cent, reversing the previous day’s performance.

The Dubai Financial Market General Index closed 0.54 per cent lower at 2,909.28, after falling to a low of 2,907.92 in the last 10 minutes of trade.

Emaar Properties closed 0.20 per cent lower at Dh5.09. Dubai Islamic Bank (DIB) closed steady at Dh4.79, falling from a high of Dh5.69.

“The Dubai Islamic Bank’s rights issue should help the bank regain its positive momentum and deliver a stronger performance on the equity market especially as the second quarter results approach,” Menacorp said in a morning note.

Small caps

Trading value stood at Dh226 million yesterday, compared to Dh300-Dh350 million a few weeks ago. “The Dubai Financial Market’s trading value has still not improved with small caps starting to reverse their earlier gains,” the Menacorp note said.

In other stocks, DIB rights closed 1.69 per cent higher at Dh1.69. Emirates NBD closed 1.97 per cent lower at Dh9.95.

Emaar Development closed 1.29 per cent lower to Dh5.34.

Abu Dhabi down

The Abu Dhabi Securities Exchange general index closed down 0.4 per cent lower at 4,557.03 even as the government announced a new board.

“The news flow from ADX indicates that the market is ready for an upgrade and ready to get competitive as expected inflows could be seen coming in towards the capital which would benefit from having a more efficient market under experienced professionals,” Menacorp said.

Abu Dhabi Commercial Bank closed 0.09 per cent lower at Dh7. Etisalat closed 0.15 per cent lower at Dh15.8.

Elsewhere in the Gulf, Saudi Arabia’s Tadawul index was 0.11 per cent higher at 8,008.62, while the Qatar exchange index closed 2.13 per cent weaker at 8,915.82. The Muscat Securities MSM 30 Index closed flat at 4,596.91.