By: Mahmoud Gamal
Dubai-Mubasher: The Dubai Financial Market (DFM) continued its decline on Wednesday, amid profits-taking on some stocks, an analyst told Mubasher.
The general index fell 0.94% or 33.8 points to reach 3,553.36 points.
The investment sector led losers after falling 1.8% as DFM Company was the worst performer with a 2.8% decline.
The consumer staples sector went down 1.7% as Dubai Parks and Resorts retreated 1.8%. Likewise, the real estate sector slid 1.10% after Emaar Malls Group (EMG) and Emaar Properties lost 1.74% and 1.09% respectively.
On the flipside, the transportation sector gained 0.47% as Air Arabia advanced 0.7%. Similarly, the telecom sector went up 0.15% after du rose by the same percentage.
Turnover reached AED 340.69 million on Wednesday, compared to AED 563.12 million on Tuesday. Trading volume stood at 192.06 million shares, compared to 352.59 million shares.
Investors' sentiment was negatively affected by the decline of global markets and news of possible interest rate increase by the US Federal Reserve's higher interest rates, according to capital market analyst Fawzi Abdullah. As a result, some traders tended to decrease their positions especially in blue-chip stocks.
However, portfolio investors built new positions in defensive stocks especially in the transportation sector.
Dubai’s general index is expected to continue its decline to reach 3,520 points, Abdullah said, adding that investors should not increase their positions until the index rebounds to 3,580 points.
Translated by: Julian Nabil
