By: Mahmoud Gamal
Dubai – Mubasher: The UAE stock markets are expected to hold at their current levels on Thursday, amid increased foreign investments and some institutional ones despite the volatile performance of global stocks and lower oil prices, analysts told Mubasher.
Although the indices are nearing the stage of profit-taking, foreign investors are increasing their purchases, reflecting that some stocks stand at good price-earning (P/E) ratios, capital market analyst Salem Al Nuwairi.
The UAE markets managed to hold on Wednesday, backed by quick transactions on blue chip and small-cap stocks, the analyst noted.
The attractive prices of Emaar Properties, Emaar Malls Group (EMG), and Emirates NBD lured investments, Al Nuwairi added.
The markets are still controlled by speculations as some investors are awaiting quarterly financial results, especially of the real estate sector, he said.
The liquidity momentum seen since the beginning of this year is likely to continue, with expectations that institutional and foreign investors will pump more investments to make use of low-priced stocks, Al Nuwairi noted.
The market still suffers from low liquidity due to investors’ uncertainty and lack of confidence, according to Wadah Al-Taha, member of the National Advisory Board of Chartered Institute for Securities & Investments (CISI).
Translated by: Julian Nabil
