By: Mahmoud Gamal
Dubai – Mubasher: Firms’ annual financial results and subsequent dividend distributions are likely to act as the main market-boosting catalyst to the UAE bourses’ liquidity.
The Emirati banks’ financial results, which were announced over the past days, were remarkably strong to alleviate selling pressures on stocks in the meantime, financial analyst at Menacorp Financial Services Essam Kassabia told Mubasher.
By the end of Monday’s trading session, the Dubai Financial market (DFM) slipped 0.31% to 3,501.33 points, while the Abu Dhabi Securities Market (ADX) closed down 0.15% to 4,629.4 points.
The local stock markets have seen a downward trend as some blue chips have faced selling after witnessing a long-term bullish trend that lasted for consecutive weeks since the beginning of 2018, Kassabia added.
Moreover, CEO of NamaaZone Iyad Aref said that the UAE bourses are currently seeing an expected correction phase.
Selling pressures on some stocks may continue over the coming sessions, Aref noted, adding that any correction phase is a chance for stocks that hit attractive prices to recreate centres.
The DFMGI is still moving upwardly towards 3,700 points since it has settled above 3,501 points, he stressed.
Translated by: Mai Ezz El-Din
