ADX jumps nearly 1% on FAB interest

EMAAR PROPERTIES, EMAAR MALLS SHARES JUMP AHEAD OF CITYSCAPE OPENING

The Abu Dhabi Securities Exchange (ADX) General Index, one of the best-performing across the region, recovered yesterday after snapping a gaining streak in the previous session on the back of buying in First Abu Dhabi Bank (FAB) shares.

The index closed 0.9 per cent higher at 4,979.58, bringing total year-to-date returns to 13 per cent. FAB closed 2.11 per cent higher at Dh14.50. Eshraq Properties rose after the company announced it had obtained regulatory approval for a buy-back. Eshraq Properties shares closed 4.09 per cent higher at Dh0.59.

Recovery seen continuing

“We expect [a] continuation in recovery in Eshraq Properties and the stock may hit the given target at Dh0.66 in the coming few sessions,” said Shiv Prakash, senior analyst with First Abu Dhabi Bank Securities. “Traders may look to hold and add further from current levels of Dh0.59.”

Etisalat closed 0.24 cent lower at Dh16.52. per

The Dubai Financial Market (DFM) General Index closed 0.49 per cent higher at 2,849.56, driven by interest in Emaar Properties and Emaar Malls ahead of a property exhibition show in the city.

Emaar Properties closed 2.40 per cent higher at Dh5.12 while Emaar Malls rose 1.64 per cent to close at Dh1.86.

“Traders may look to buy from Dh1.81-Dh1.85 levels with stop loss placed under Dh1.75 support for a target of Dh2,” Prakash said.

Illiquid stocks like InvestBank and Union Arab Bank saw mild trading even as both the banks have denied reports of a merger. Invest Bank closed 6.38 per cent higher at Dh2.50 while Union Arab Bank ended the day 3.45 per cent higher at Dh1.20.

Elsewhere in the Gulf region, Saudi Arabia’s Tadauwl index closed 0.30 per cent higher at 8,023.32, extending gains for another session on the back strong oil prices.

Support from the energy index was offset by losses in capital goods and consumer services. The Muscat MSM 30 index closed 0.12 per cent lower at 4,538.08 while the Qatar Exchange index fell 0.24 per cent to close at 9,790.20.