By: Mahmoud Gamal
Abu Dhabi – Mubasher: The Abu Dhabi Securities Exchange (ADX) deepened its losses on Tuesday, amid weak trading. The general index dropped 1.1% or 49.09 points and closed at 4,427.39 points.
Falling oil prices following increased US oil reserves contributed to the ADX’s decline today, commented Raed Diab, vice president of investment research at KAMCO.
Turnover increased to AED 249 million as 243.7 million shares were exchanged, against AED 187.85 million on Monday, after 132.4 million shares were traded.
The telecom sector led fallers, sliding 1.32% as Etisalat saw a similar drop, followed closely by the banking sector which lost 1.31% after First Gulf Bank (FGB) retreated 0.8%, while the real estate sector shed 0.9% after Aldar Properties fell 1.8%.
The Abu Dhabi market was heavily impacted by Etisalat’s stock which was unable to pass resistance at AED 19.05, the analyst said, noting that Aldar performed negatively despite better-than-expected financial results.
It is expected that the ADX will continue its fluctuating performance as oil prices enter a correction, Diab said, indicating that passing the level of 4,500 points will reduce selling pressure and allow the index to move upwards towards 4,600 points.
Should the index retreat to 4,370 points in the coming sessions, then it will likely see further correction towards 4,250 points on the short term, he concluded.
Translated by: Nada Adel Sobhi
