UAE – Mubasher: The negative outlook continues to be the dominant factor on UAE stock market performance, as markets continue to ignore companies’ positive financials and dividends, added to a clear decline in liquidity, analysts told Mubasher, adding that the dividend distributions have not helped stocks despite the distribution values.

Both the DFM and ADX ended Thursday, the last trading session in January, in the red, falling by 1.66% and 1.31%, respectively. The DFM saw a collective-sector decline, added to being affected by global markets and plunging oil prices.

Meanwhile, capital market analyst Tarek Essawy noted that today’s closing was acceptable and within normal range, provided that market closes above 3650 points. The Abu Dhabi Securities Exchange (ADX), however, failed to cling to the 4500-point level, he added.

The market is expected to continue moving between these levels until the period for announcing financials is over, Essawy added.

Al Sherhan Centre for Stocks and Bonds General Manager Gamal Aggag commented that the market saw selling on some leading companies’ stocks, resulting in a negative effect in the session’s overall trades, which were disappointing.

The massive decline seen over the past few days is unjustified particularly in the presence of generally positive financials, Aggag told Mubasher in an exclusive comment, adding that the overall atmosphere is what controls the market at present.

On his part, Delma Trading Manager Wael Mahdi attributed Thursday’s declines to several factors, namely US market declines, absence of buyers in speculative movements on stocks and the retreating Saudi market.

In his comment to Mubasher, Mahdi highlighted that Thursday is the final trading session of the month, which prompted investors to close their positions, thus negatively affecting Thursday’s trades.