By- Elsayed Solyman

* Dubai’s index snaps six days of gains on profit-taking

* Emaar leads losses as betting on more cash dividends payouts proved untrue

*Arabtec bucks the downtrend in strong trading values

* Abu Dhabi’s index falls for second consecutive session

* Dana Gas drops 4.4%, as AGM approves no cash distributions for 2013

Stock markets in the United Arab Emirates came under selling-pressure Thursday, smacked by a profit-taking streak, which spurred investors to book profits from a sustained market surge in both Dubai and Abu Dhabi.

The Dubai benchmark stock index, DFMGI, dipped 0.9% to 5088.48 points, but it is still at six-year high.

“Investors were making use of a sustained market surge in Dubai Thursday. The decided to book gains, which are very healthy to the market to resume rally next Sunday,” said Nabil Hyder, head of gulf research in Al madina Investment.

The real estate sector index shed 0.82%, with heavyweight Emaar losing 1.34%, after the company’s AGM declared a total distribution valued over AED 8 billion (US$ 2.18 billion) in cash and bonus shares at its 16th Annual General Meeting (AGM) held in Dubai Tuesday.

According to Emaar's statement to Mubasher, this includes 15% cash dividend, equivalent to about AED 975 million (US$ 265.5 million), and 10% bonus shares, or 650 million shares, valued at about AED 7.12 billion (US$ 1.94 billion) at AED 10.95 per share, as of April 23, 2014.

Meanwhile, Arabtec bucked the market’s downtrend and closed 0.34% higher in a strong trading values, exceeded one billion dirhams.

The banking sector index lost 0.6%, as heavyweight Dubai Islamic Bank shed 1.16%, while Emirates NBD gained 1.01%, after the lender posted a robust growth in first quarter of 2014.

The biggest bank in Dubai by market value posted a net profit for Q1 2014 of AED 1.0 billion, up 25% from Q1 2013 and up 55% from Q4 2013.

“We could see the market resuming rally next Sunday, after most retail investors are done with profit-taking,” said Nedal Khouly, head of gulf research in Nemma Investment.

Turnover hit AED 3.37 billion, while volume stood at 992.47 million shares.

Elsewhere, shares on the Abu Dhabi bourse extended losses Thursday, as investors continued to book gains from blue-chips stocks in the real estate sector.

ADX, the main benchmark stock index, lost 0.78% to 5171.2 points, but the index is still too at multi-year peak, its highest level since January 2006.

“Aldar was the main drag Thursday, while First Gulf Bank’s gains couldn’t prop up the index,” said Ramy Rashad, a senior technical analyst at Mubasher Financial Service.

Shares in developer Aldar lost 6.1%, dragging the real estate sector index 5.81% lower, while Eshraq Properties shed 5.2%.

The banking sector index ticked up 0.09%, with First Gulf Bank, the biggest relative weight in the index, gaining 1.19%, while National Bank of Abu Dhabi dropped 0.67%.

Shares in Dana Gas dipped 4.4%, as the AGM approved the board recommendation not to distribute cash dividends for 2013’s profits.

“The index may be testing a very important resistance level Sunday at 5200 points, buoyed by blue-chips stocks in the banking sector,” Rashad added.

Turnover stood at AED 938.7 million, while volume came in 309.2 million shares.