Aramex and Arabtec boost Dubai market rebound

Market Wrap: Dubai shares rose today as declines made on Monday were seen as largely exaggerated. Oman's index gained as the government introduced a series of reforms aimed at appeasing the public - with video.

Dubai's market rebounded as stocks were seen mostly oversold and political tensions stabilise, brokers said today.

The Dubai Financial Market General Index rose 1 per cent to close at 1424.76 points. Yesterday the emirate's main benchmark declined to its seven year low as political tensions escalated in Oman.

Among the best performers was the Middle East's largest courier company Aramex, which surged 5.1 per cent to Dh1.63 a share. Arabtec Holding gained 3 per cent to Dh1.34. Gulf Navigation Holding rose 4.8 per cent to 33 fils.

On the Abu Dhabi Securities Exchange, banking stocks which hold the largest stake on the emirate's index, remained lukewarm. National Bank of Abu Dhabi rose 0.4 per cent to Dh11.15. First Gulf Bank lost 0.3 per cent to Dh15.90. Abu Dhabi Commercial Bank lost 0.9 per cent to Dh2.21. The Abu Dhabi Securities Exchange General Index lost 0.5 per cent to 2574.32 points.

Oman's measure added 4.2 per cent to 6401.48 points after the country's government introduced social reforms to assist in job creation and inflation protection.

These reform measures would be beneficial for the local equity markets over the medium to longer term horizon," the research team at Oman-based Gulf Baader Capital Markets said in a note to clients. "We would look to view the effective implementation of these reforms which in turn could lead to firmness in the economy and in turn the equity markets."

Elsewhere in the region, Kuwait's measure declined 2.4 per cent to 6321.40. Bahrain's index lost 0.4 per cent to 1424.33. Qatar's measure gained 0.1 per cent to 7940.90. The Saudi Tadawul All-Share Index added 4.2 per cent to 5689.10.