By: Mahmoud Gamal
Dubai – Mubasher: Analysts said that UAE stocks need a long-term institutional entrance to benefit from the prices if some mega companies, so that the markets would not fall on Monday.
The Dubai Financial Market (DFM) decreased by 0.13% on Sunday on the back of the capital market's index which lost 0.5%.
The risk rate became higher than before without focusing on investment but on speculations instead, technical analyst Ahmed Ismail told Mubasher.
He added that the UAE markets need the return of institutional investment in the coming sessions, while the leading stocks are already at good levels, to erase the speculation's control over the markets.
Moreover, technical analyst Salem Al Nuwairy said that liquidity will still be directed to the stocks on the DFM and Boursa Kuwait, and the small shares that recorded standard levels since the beginning of the year.
The markets may adopt this fluctuating manner until the price of oil stabilises at $56, especially after the contradictory news about OPEC's agreement and concerns regarding US production, the analyst added.
Al Nuwairy noted that expectation of the return of profit gains for global markets, awaiting the Federal Reserve's decision on the interest rate, will have a negative reflection in foreigners' trades in UAE markets this week.
