Abu Dhabi stock index flat, Dubai dips as investors book profits
Block trades dominated Abu Dhabi's market yesterday as investors sought to change positions in their portfolio amid lacklustre trading activity.
Eshraq Properties traded 17.7 million shares, but ended unchanged at 61 fils. RAK Properties, another developer, traded 12.9 million shares, but closed flat at 54 fils.
Aldar Properties, which developed Yas Island and Ferrari World, traded nine million shares and ended unchanged at Dh1.37.
"When markets are stable, that's usually the best time to settle these transactions," said Saleem Khokhar, the head of equities at National Bank of Abu Dhabi.
"It seems larger investors are changing positions and both sides of the trade are comfortable with the prices."
The Abu Dhabi Securities Exchange General Index ended unchanged at 2,923.97.
"Lower trading volumes was another reason for the lack in price volatility," said Mohab Maher, an institutional trader at Mena Corp, an investment company in Abu Dhabi.
Traded value dropped to Dh137 million yesterday, from Dh223m the day before.
In Dubai, investors booked profits after a significant rise in the value of blue-chip stocks in recent weeks.
"There's quite a bit of profit-taking, but the sentiment is still very positive," Mr Maher said.
Emaar Properties, the developer behind the Burj Khalifa, fell 1.2 per cent to Dh4.94. Arabtec Holding, the biggest contractor in the emirate, slipped 0.6 per cent to Dh2.95. Drake & Scull International, the second-biggest contractor, declined 0.5 per cent to 80 fils. The Dubai Financial Market General Index fell 0.4 per cent to 1,888.01.
Published: February 13, 2013 04:00 AM