By: Mahmoud Gamal
Dubai-Mubasher: The Dubai Financial Market (DFM) saw marginal gains in August, amid speculators’ purchases of selective stocks, according to an analyst.
The general index went up 0.58% or 20.08 points to reach 3,504.40 points.
Speculators’ tendency to make selective purchases and exchange positions in some stocks backed the main index to slightly rise in August, gulf capital market analyst Safwat Totah said.
Damac Properties was the top gainer after adding 3.45%, while Dubai Investments, DFM Company, and Dubai Parks and Resorts gained 1.6%, 1.2% and 0.07% respectively.
Most portfolio investors exited their positions in blue chips amid fears over volatile oil prices and interest-rate hike, in addition to expectations of no agreement on freezing oil production, the analyst added.
Most blue chips saw a negative performance as Arabtec Holding, Union Properties, Emaar Malls Group (EMG), Emaar Properties and Dubai Islamic Bank (DIB) fell 3.9%, 3.4%, 3.5%, 2.9% and 1.7% respectively.
Trading volume reached 3.44 billion shares in August, compared to 4.76 billion shares in July. Trading volume stood at AED 5.47 billion, compared to AED 7.54 billion.
Dubai bourse is likely to decline and reach 3,405-3,418 points in September, he noted.
Traders should not increase their positions until the Federal Reserve sets the interest rate for this year, the analyst concluded.
Translated by: Julian Nabil
