Stock markets in the United Arab Emirates came under selling pressure this week, as investors were booking gains in both Dubai and Abu Dhabi.
The Dubai benchmark stock index, DFMGI, dipped 1.59% to 4762.21 points, off six year-high, the index touched last Thursday.
“Investors were booking gains from blue-chips stocks in real estate and banking sectors, which were the main drag in Dubai this week,” said Nabil Hyder, head of gulf research in Al madina Investment.
The property sector index shed 0.97%, with heavyweights Emaar and Arabtec losing 2.38% and 0.14%, while Drake&Skull dropped 2.37%.
The banking sector index lost 3%, with Emirates NBD shedding 8.9%, while Dubai Islamic Bank ticked up 0.15%, after the lender increased the foreign ownership limit to 25%.
“We could see the market resuming rally next week with fresh catalysts ahead of first quarter results,” Hyder added.
Arabtec was the most active by value, while Gulf Finance House was the most active by volume, with its stock’s price gaining 0.7%.
Turnover hit AED 7.06 billion, while volume came in 2.9 billion shares.
Elsewhere shares on the Abu Dhabi bourse closed also off multi-year high this week, as selloff streak were hitting the market.
ADX, the main benchmark stock index, edged 0.29% lower to close at 5156.65 points.
“Banks and telecom shares weighed on Abu Dhabi’s index this week, while property-related stocks limited the markets losses,” said Nedal Khouly, head of gulf research in Nemma Investment.
The real estate sector index gained 2.97%, with heavyweight Aldar advancing 3.17%, while Eshraq rallied 9.7%.
The banking sector index lost 0.8%, with large-caps First Gulf Bank and ADIB losing 0.56% and 2.72% respectively.
Heavyweight Etisalat, the second biggest relative weight in the index, lost 0.43%.
“We could see banks’ stocks serving as the main supporter to the market next week to resume its rally,” Khouly added.
Aldar was the most active by value, while Eshraq was the most active by volume.
Turnover hit AED 5.79 billion, through the trade of 2.2 billion shares.
