Abu Dhabi's stock market slides

The Abu Dhabi Securities Exchange declined the most in almost four months, as investors cut positions after oil dropped below US$90 last week.

Brent crude on Friday closed below $90, the first time in two years. The Canadian Press Images / Larry MacDougal

Abu Dhabi's stock market declined the most in almost four months, as investors cut positions after oil dropped below US$90 last week.

Abu Dhabi National Energy, also known as Taqa, slumped 6.2 per cent yesterday to close at Dh1.2 on the Abu Dhabi Securities Exchange General Index.

"The oil price will have an effect on [Taqa's] bottom line," said Tariq Qaqish, the deputy head of asset management at Al Mal Capital in Dubai. "Oil and gas revenues will be under pressure due to the drop."

Dana Gas, a gas explorer and producer, was unchanged at 37 fils a share. Brent crude on Friday closed below $90, the first time in two years and has tumbled 30 per cent since its peak on March 1.

Etisalat, which holds the largest weighting on its home index, declined 1.4 per cent to Dh9.68. Etisalat has been subject to "profit taking after it rallied 10 per cent this month on speculation will open up to foreign investment", said Anastasios Dalgiannakis, the head of trading at Mubasher Financial Services in Dubai.

"But MSCI's decision not to upgrade the UAE to emerging markets from the frontier markets index" dampened appetite for buying the stock, he said. The Abu Dhabi exchange lost 1.1 per cent to 2,480.84.

The Dubai Financial Market General Index declined 0.6 per cent to 1,460.74.

Elsewhere in the region: Kuwait's measure lost 1.1 per cent to 5,833.98; Bahrain's measure slipped 0.3 per cent to 1,124.09; Oman's MSM 30 Index was 0.1 per cent lower to 5,655.99; Qatar's QE Index lost 0.2 per cent to 8,229.80. The Saudi Tadawul All-Share Index moved TK per cent to TK.