By: Mahmoud Gamal
Dubai – Mubasher: The UAE stock markets are still controlled by speculators and suffer from the absence of catalysts in the current period; thus, leading to lower liquidity amid the end of first-quarter financial disclosures, analysts told Mubasher.
The UAE markets are seeing horizontal trades again which are carried out at a low liquidity level, capital market analyst Ahmed Ismail said.
Local and foreign portfolio investors still do not want to pump good liquidity, amid the absence of positive news and increased speculations in line with the subscription to Arabtec Holding’s capital increase which started Monday, he said.
Entry of portfolio investors and funds will attract new investments and help the market exit its current state of caution, Ismail noted.
Thin liquidity is mainly attributed to the anxiety of investors who are waiting for the end of selling pressures on blue chips, he said.
First-quarter results announced on Monday were below expectations, negatively affecting investors’ sentiment, capital market analyst Hamoud Al Azmi said.
Translated by: Julian Nabil
