By: Mahmoud Gamal
Mubasher: It is expected that Gulf markets alongside the Egyptian Stock Exchange (EGX) to see fluctuation during the week as investors hold their ground in anticipation of leading companies’ financial results, analysts told Mubasher.
Most Gulf markets incurred declines on Thursday as investors focused on profit-taking.
Arab market analyst and financial advisor Hashim Al-Fahmawi said he expects most Gulf markets to see a technical correction this week by as much as 15%.
“It is better to stay outside the markets at this point,” he stated.
Speaking to Mubasher, Ali Al-Anzy, economic analyst and head of research at KAB Kuwait Group, noted the massive state of anticipation amongst traders as many major companies have not announced their financial results for Q1-16, added to banks and real estate firms posting below-expectation results.
The Abu Dhabi Securities Exchange (ADX) general index fell 1% on Thursday, weighed down by the banking sector, as Commercial Bank International dropped 7.7% on the back of a net profit of AED 1.02 billion ($277.7 million). First Gulf Bank (FGB) shed 1.2% after posting a net profit of AED 1.33 billion ($360 million).
The Dubai Financial Market (DFM) slipped 0.4% as Dubai Islamic Bank (DIB) lost 2%.
Meanwhile, the EGX fell 1.2% to 7,773 points, after Orascom Telecom Media and Technology (OTMT) retreated 1.3% after posting a net loss of EGP 3.6 billion ($405 million) in FY15, against a net profit of EGP 263.98 million ($29.75 million) in 2014.
Foreign investors are forming new positions in Gulf stocks which have reached resistance levels, Al-Enzy noted.
The Saudi Stock Exchange (Tadawul) was down on Thursday by 0.2% to 6,806 points, while the Kuwait Stock Exchange (KSE) fell 0.7% to 5,392 points. Bahrain’s bourse slipped 0.2% to 1,111 points.
On the other hand, Qatar Exchange (QSE) grew 0.3% to 10,186 points, while the Muscat Securities Market (MSM) added 0.1% to 5,943 points.
Translated by: Nada Adel Sobhi
