By: Mahmoud Gamal
Dubai – Mubasher: The UAE stock markets are expected to inch up during Thursday’s trading session, after consecutive drop in four sessions, analysts told Mubasher.
On Wednesday, the Dubai Financial Market General Index (DFGMI) tumbled 1.89%, in line with a decline in the stocks of Arabtec Holding, and Emaar Properties, while the Abu Dhabi Securities Exchange (ADX) decreased 1.14% to reach 4,369.06 points.
Market analyst Gamal Abdel Hameed forecasted that the UAE bourses’ indices will see positive trend during the coming sessions, after suffering declines in the previous sessions.
The decreases that occurred in the UAE stock markets was attributed to the investors’ caution after Saudi Arabia started its anti-corruption crackdown, Abdel Hameed added, noting that the tension in the geopolitical situation in the GCC region raised investors’ caution.
On Wednesday, Arabtec Holding stated that it turned profitable in the third quarter of 2017, after implementing a restructure for all its business.
If the DFMGI remains on Thursday above 3,400 points, it will reach 3,465 points in the coming sessions, Abdel Hameed noted, clarifying that if the DFMGI remains above 3,465 points after reaching, it will reach to 3,541 points.
On the other hand, the market analyst said if the selling trend does not end in the bourses, the DFMGI will drop down 3,400 points to reach between 3,373 and 3,341 points.
The drop on the DFM that took place on Wednesday was based on inaccurate information regarding the anti-corruption probe by Saudi Arabia against investors who are related to the UAE-listed firms, said Fadi El Ghattis, MindCraft Consultants’ CEO.
El Ghattis concluded that investors must abandon the strong selling trend in the bourse, as the UAE’s economy is in good condition and companies see better financial results, as Arabtec Holding’s financial results of Q3-17.
Translated by: Mohamed Hesham Azab
