Bargain buying seen in select stocks on DFM

Dubai:

Bargain buying was witnessed in selected stocks on Thursday, while the Dubai index edged lower because of weakness in Emaar Malls.

Gulf Finance House and Shuaa Capital contributed to 22 per cent of the total shares of 255 million. GFH closed 1.76 per cent higher at Dh2.31. Shuaa Capital closed 1.2 per cent higher at Dh0.65.

Emaar Malls closed 4.80 per cent lower at Dh2.57, after the stock went ex-dividend. The Dubai Financial Market General Index closed 0.64 per cent lower at 3,416.71.

“We are trailing behind as a region, the reason for me is crude,” said Sanyalaksna Manibhandu, director Research, National Bank of Abu Dhabi Securities.

The Abu Dhabi Securities Exchange General Index closed 0.62 per cent lower at 4,512.91. About 40 million shares were traded on Eshraq Properties, which closed at Dh1.17, up 2.63 per cent. Etisalat closed 2.24 per cent lower at Dh17.45.

Abu Dhabi Commercial Bank closed 1.70 per cent lower at Dh6.92. Union National Bank closed 1.96 per cent lower at Dh5. Analysts have a positive outlook on banking stocks. “I think that banks are talking about better margins and that is a positive,” Manibhandu said.

Going ahead, NBADS feel that they need more news on restructuring for markets to sustain higher.

“We also need Arabtec and DSI to report first quarter profit to help sentiment. People would then feel that they deserve new capital,” Manibhandu said.

Saudi stocks closed higher after news on bank mergers.

The Tadawul index closed at 6,945.74, up 0.40 per cent.

Alawwal Bank closed 2.56 per cent higher at 11.64 Saudi Riyals. Saudi British Bank (SABB) closed 1.27 per cent lower at 22.59 riyals.

The Qatar exchange index closed 1.13 per cent lower at 10,089.86. The Muscat MSM 30 index closed 0.28 per cent higher at 5,525.43.