By: Mahmoud Gamal
Dubai-Mubasher: The Dubai Financial Market (DFM) reversed the negative performance it maintained for two sessions on Thursday, backed by recovery of the transportation and banks sectors.
The general index rose 0.27% or 9.37 points to reach 3,519.27 points.
The transportation sector was the worst performer after falling 3.5%, backed by Aramex and Air Arabia which retreated 6.5% and 3.6% respectively.
The market’s gains were backed by the purchase deal with Aramex, as well as positive results posted by some companies for Q2-16 and higher oil prices, capital market analyst Gamal Abdel Hamid told Mubasher.
Joana Investment acquired a 6.5% stake or 99.4 million shares in Aramex at AED 4.4 per share, the courier said, adding that the transaction stands at a total value of AED 437.5 million.
The investment and real estate sectors were the most prominent losers after falling 0.34% and 0.24% respectively, weighed down Emaar Malls Group, Arabtec Holding and Dubai Investments which slid 1.36%, 1.34% and 0.5% respectively.
Turnover reached AED 315.18 million on Thursday, compared to AED 292.3 million on Wednesday. Trading volume stood at 163.68 million shares, compared to 128.57 million shares.
The market’s liquidity is still below expectations, Abdel Hamid said, adding that traders are still cautious.
The main index is likely to continue its rise and target 3,522-3,535 points, the analyst noted.
Expectations of positive Q2 results will push traders to buy stocks which stand at low price levels, Abdel Hamid concluded.
Translated by: Julian Nabil
