By: Mahmoud Gamal
Mubasher: Gulf markets are witnessing accumulation on blue chips at attractive levels, amid a buying tendency of foreign investors, analysts told Mubasher.
Most gulf stock markets are likely to exhibit a sideways-to-bearish trend on Tuesday, amid a decline of oil and global markets, analysts added.
Brent crude declined 2.5% on Monday, while the U.S. crude fell 3%.
The markets are witnessing strong purchasing power by foreign investors, amid liquidity inflows especially in the UAE exchanges, Adnan Al-Dulaimi, GM of Mena Financial and Economic Consultation, told Mubasher.
Foreign investors tend to build new positions in major Gulf markets as first-quarter reporting season will kick into gear soon, noted Ali Al-Anzi, financial analyst at CapCorp Investment Company.
Traders’ mood is currently linked to the trend of oil and global markets, capital market analyst Hamoud Al-Shammari said.
Portfolio investors are likely to liquidate their stocks and make partial profit-taking till the markets set a clear trend.
