By: Mahmoud Gamal
Dubai-Mubasher: The UAE stock markets closed in the red amid expected profit-taking on Wednesday, according to analysts.
Dubai Financial Market (DFM) reversed the positive performance it witnessed for four successive sessions on Wednesday, losing 1.7% or 54.5 points to reach 3,137.34 points.
Emirates NBD fell 2.8%, followed by Emaar Properties, Dubai Islamic Bank (DIB) and Arabtec Holding at 2.4%, 2.37 and 1.7%, respectively.
Turnover reached AED 715.62 million ($194.8 million) on Wednesday, compared to AED 709.92 million ($193.23 million) on Tuesday. Trading volume reached 794.56 million shares, compared to 661.9 million shares.
GFH was the value leader with turnover of AED 87.9 million after trading 125.4 million shares through 963 transactions. The stock declined 4.2%.
Abu Dhabi Securities Exchange (ADX) fell 0.72% or 31.12 points to reach 4,282.45 points.
The Gulf markets, including the UAE’s, were hit by weaker oil prices, U.S. and European indexes, said capital market analyst Doaa Magdy.
Magdy added that the local markets technically moved sideways and as investors traded on small caps and blue chips.
National Bank of Abu Dhabi (NBAD) was the worst performer with a 1.6% decline, followed by Abu Dhabi Islamic Bank (ADIB), First Gulf Bank (FGB) and Etisalat at 1.4%, 0.4% and 0.3% in a row.
Despite retreating today, the leading stocks, held firm above the support levels, standing at decent liquidity.
The UAE markets witnessed shift of position from blue chips to small caps, especially in the real estate stocks including SHUAA Capital, Drake and Scull International, Deyaar Development, Aramex, Manazel Real Estate and RAK Properties.
Turnover stood at AED 384.56 million ($104.7 million) on Wednesday, compared to AED 254.4 million ($69.24 million) on Tuesday. Trading volume reached 389.4 million shares, compared to 224 million shares.
Eshraq Properties was the most active stock, with turnover of AED 155.8 million after trading 219.7 million shares through 1,051 transactions. The stock increased 10.6%.
Magdy noted that the UAE markets are likely to see fluctuations amid expectations of oil prices below $30.
Translated by: Julian Nabil
