By: Bedour Alraei
Abu Dhabi-Mubasher: The UAE markets are likely to see a negative performance in the short run, weighed by a state of anxiety due to absence of real catalysts that could support the markets, analysts told Mubasher.
The markets are mainly pressured down by investors’ anxiety and pessimism, in addition to low oil prices and Federal Reserve’s recent decisions, capital market analyst Wadah Al Taha told Mubasher.
Al Taha expected the UAE markets to continue its downward trend amid absence of positive catalysts and investment liquidity.
He asked local portfolios to trade and support the markets, thus regaining investors’ confidence.
Al Taha went on to say that there are still investment opportunities despite the sharp decline in stocks’ prices.
The continuing decline in liquidity may push traders to repeat profit taking on stocks with limited profit margin.
The recent declines that markets witnessed are “unreasonable and unjustified” as UAE’s economy is relatively strong.
Translated by: Julian Nabil
