Abu Dhabi index gains with Dana Gas

Emaar Properties hit new 52-week high

Published: 16:37 June 13, 2017

Siddesh Suresh Mayenkar, Senior Reporter

Dubai

The Abu Dhabi index rose on Monday even as Dana Gas hit an upper limit. Saudi’s Tadawul index closed flat.

The Abu Dhabi Securities Exchange general index closed 0.58 per cent higher at 4,537.60.

Dana Gas jumped 15 per cent to be at Dh0.69. About 150 million shares were traded in Dana Gas, the highest volume since June 2014. About 863 million shares have been traded in the name in the past 13 sessions.

“There is an increase in liquidity in the market due to company related news such as capital restructuring like Dana Gas, DSI,” said Tarek Qaqish, managing director of asset management at Mena Corp.

A strong economic background is also helping sentiment. “PMI numbers for the UAE are still indicating growth in the economy, although its lower than previous month, clearly investor’s pessimistic view has been beyond the current economic stable situation,” he added.

Etisalat closed 0.58 per cent higher at Dh17.45. Abu Dhabi Ship Building closed 3.27 per cent higher at Dh2.53. The Dubai index breached 50 day moving average of 3,427 on Monday. The index closed 0.43 per cent higher at 3,441.85.

“The bounce is expected to continue further and target 3,573 first in the short term, also the trading volumes are seen increasing with the rise in price hinting bullishness,” said Shiv Prakash, senior analyst with National Bank of Abu Dhabi Securities.

Drake and Scull closed at Dh0.430, down 0.46 per cent. Union Properties closed 1.30 per cent higher at Dh0.938. Aldar Properties closed 2.55 per cent higher at Dh2.41.

“The stock is hinting at extension towards the next target levels at Dh2.54 in the coming sessions,” Prakash said.

Emaar Properties extended gains for another session to hit a fresh 52-week high. Emaar Properties closed 1.02 per cent higher at Dh7.91, after hitting a high of Dh7.92.

Going ahead, Qaqish has a positive bias. “Momentum could continue towards the second quarter results and any potential solution towards regional geo-politics,” he said.

Saudi Arabia’s Tadawul index closed 0.02 per cent lower at 6,820.60. The Qatar exchange index closed 0.43 per cent lower at 9,095.45.

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