Banks lead gains in Dubai and Abu Dhabi

FGB, which fell 4.9 per cent on Monday, closed up 3.77 per cent at Dh11, with Bank of Sharjah and ADIB among the other big-name gainers.

Bank shares led the rebound in the UAE on Tuesday after third-quarter results from Union National Bank and Emirates NBD on Monday outperformed their counterparts in Saudi Arabia.

The Abu Dhabi Securities Exchange General Index, which experienced its sharpest one-day fall since March on Monday, closed up 1.1 per cent at 4,269.34. FGB, which fell 4.9 per cent on Monday, closed up 3.7 per cent at Dh11, with Bank of Sharjah and ADIB among the other big-name gainers.

UNB ended the day unchanged after the bank reported a 15 per cent drop in third-quarter earnings on lower interest income. Its profit came in 3 per cent lower than an average of analyst predictions tracked by Bloomberg, but compared favourably with those of Saudi banking bellwether NCB, which came in 15 per cent lower.

The Dubai Financial Market General Index rose 1.3 per cent at 3,317.97, its best one-day performance in over three weeks, and its first gain for five days. Dubai Islamic Bank was the main gainer, closing up 1.9 per cent at Dh5.35, a day after Emirates NBD reported slightly lower profit for the third quarter. Emirates NBD shares were last traded on Sunday.

Dubai Investments and Emaar Properties were the other main gainers, rising 3.5 per cent and 0.9 per cent respectively.

In Saudi Arabia, the Tadawul closed lower for the third consecutive day, ending down 1.8 per cent. National Industrialization Company, known as Tasnee, fell 9.9 per cent after reportedly suspending repayments on a 4 billion Saudi riyal loan, even as its profits rose in the third quarter.

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