Dubai index flat after heightened volatility
Published: 16:32 February 16, 2017
After the volatility witnessed due to Arabtec results and its plan, the benchmark Dubai index ended the week on a flat note in a low volume trade. The Abu Dhabi index jumped more than 1 per cent.
The Dubai Financial Market General Index closed 0.16 per cent higher at 3,650.76. Traded value fell to Dh772 million from over Dh1 billion in the past few sessions.
“The market is quiet after the recent high volatility. Since results season is out of way, the market would return its focus on oil price and the international backdrop,” Saleem Khokhar, head of equities at National Bank of Abu Dhabi’s asset management group said.
Gulf Finance House closed more than 4 per cent higher at Dh2.88, and was the most active stock in terms of traded value. GFH contributed 36 per cent of the total traded value.
Arabtec rose 1.96 per cent to close at Dh1.04, after falling in the past three sessions. Dubai Financial Market shares was up less than a per cent at Dh1.55.
“The recent break above the Dh1.42 level has shifted the long term outlook to Bullish and raised confidence for an extended move targeting the 1.66 level,” Menacorp said in a note to its clients.
Air Arabia closed 0.82 per cent higher at Dh1.23. Emaar Properties closed 0.23 per cent higher at Dh7.64. Out of a total of 33 stocks traded on the exchange, shares of 15 firms rose, while other 13 fell. The rest remained steady.
Going ahead, mid and small cap sector is a little interesting after the recent decline provided the international backdrop stays strong,” Khokhar said.
The Abu Dhabi Securities Exchange General index ended stronger helped by positive performance in banks. The index closed 1.01 per cent higher at 4,643.21.
Etisalat closed 3.07 per cent higher at Dh18.45. National Bank of Abu Dhabi Bank closed 1.45 per cent higher at Dh10.50. First Gulf Bank closed 0.74 per cent higher at Dh13.70. Dana Gas closed 2.08 per cent higher at Dh0.49.
Out of a total of 27 stocks traded on the exchange, shares of 8 firms fell, while other 7 firm rose.
The Tadawul index in Saudi Arabia closed 0.81 per cent higher at 7,131.27.
Analysts feel that MSCI may put the Tadawul index on the watch list of emerging markets, a move that could attract billions of dollars of passive money into the market.
“Overall, the index may offer good value for another 10 months,” said Khokhar.
Elsewhere in the Gulf, the Qatar exchange index closed 0.7 per cent higher at 10,819.30. The Muscat Securities MSM 30 index closed 0.2 per cent higher at 5,843.11.