By: Mahmoud Gamal
Mubasher: The UAE markets are currently seeing subscription to rights issues and bonds which withdrew liquidity from local stocks, analysts told Mubasher.
Abu Dhabi National Insurance Co. (ADNIC) decided on Sunday to make the subscription to its convertible bonds begin on 24 May and end on 6 June.
Purchases of stocks declined as most traders tend to liquidate their stocks and subscribe to shares or bonds, capital market analyst Amir Al Mansour told Mubasher.
The interest rate on some issued bonds reached 7.5% to attract institutional investors, Al Mansour added.
The UAE markets are expected to witness some technical rebounds in the second half of today’s session after the trend of global and oil markets becomes clear, technical analyst Salam Saeed noted.
Dubai market sees resistance at 3,325 points, capital market analyst Gamal Abdel Hamid said, adding that stability above such level will lead the index to rise to 3,351 points.
Abdel Hamid added that the DFMGI will fall to 3,255 points if it moves below 3,280 points.
