By: Mahmoud Gamal

Dubai – Mubasher: The UAE stock markets are expected to continue their fluctuations on Monday, amid the absence of catalysts and decline of liquidity, analysts told Mubasher.

The Dubai Financial Market (DFM) closed Sunday in the green zone, backed by the rise of blue chips, topped by Arabtec Holding and Dubai Islamic Bank (DIB).

Meanwhile, the Abu Dhabi Securities Exchange (ADX) saw a bearish performance on Sunday, weighed down by the fall of Etisalat and First Abu Dhabi Bank.

The markets managed to hold on Sunday on the back of quick transactions carried out on blue chips, capital market analyst Mohamed Al Azmi told Mubasher.

Although the UAE bourses, especially the ADX, are nearing the profit-taking phase, foreign investors are increasing their purchases, reflecting that some stocks have good price-earnings (P/E) ratios, he added.

Institutional investments are modest, while many portofolio investors are currently speculating amid anticipations of new catalysts related to listed companies, Al Azmi noted.

The buying momentum of foreigners is expected to continue to make use of low-priced stocks, he said.

The bourses still suffer from low liquidity as some investors are still cautious and hesitant, according to Wadah Al Taha, member of the National Advisory Board of Chartered Institute for Securities & Investments (CISI).

Translated by: Julian Nabil