By: Mahmoud Gamal

Dubai – Mubasher: The UAE stock markets are expected to extend gains on Wednesday amid selective buying on blue chips, mainly Dubai Investments, Damac Properties, and Air Arabia, analysts told Mubasher.

By the end of Tuesday’s trading session, both the Dubai Financial Market’s (DFM) general index and the Abu Dhabi Securities Market’s (ADX) general index inched up 0.03% and 0.08%, respectively.

Selective buying

The UAE bourses have recently seen selective buying on some blue chips, topped by Dubai Investments, Damac Properties, and Air Arabia, after approving dividends and announcing all-time high financial results, senior financial analyst at Menacorp Financial Services Issam Kassabieh said.

The Emirati stocks may see rebounds at its current levels, which is an opportunity for investors to create positions and avoid selling, he indicated.

He stressed that some investors are likely to incline to trade on the banks sectors’ stocks, backed by positive news, including Emirates NBD which announced plans to raise foreign ownership.

Dana Gas’ sukuk

As for Dana Gas’ sukuk case, Kassabieh highlighted that Sharjah court has ordered the company to carry on the case after the energy producer seeks to reach out-of-court settlement.

The Abu Dhabi-listed firm announced yesterday that the court has ordered the company to continue with legal efforts in the UAE to have $700 million of its sukuk declared invalid.

Good prices

For his part, CEO of NamaaZone Iyad Aref said that the local stock markets are likely to see positive rebounds.

The DFMGI has support near 3,126 and 3,081 points, Aref pointed out, adding that positive prices may push the index above 3,285 points.

Translated by: Mai Ezz El-Din