Markets in the UAE fared better than anticipated yesterday, with shares closing only slightly lower following the Eid Al Adha holiday.
Fresh concerns over a potential US interest rate rise later this month have taken their toll on emerging market shares over the past week, with MSCI’s Emerging Market Index trading 4.5 per cent lower.
Concerns over rising oil inventories has had a weakening effect on oil prices, with Brent crude futures falling to as low as US$45.75 yesterday afternoon.
Dubai stocks were down by as much as 1.7 per cent, but closed just 1 per cent lower at 3,482.25.
“The market did fairly well to close down just 1 per cent,” said Julian Bruce, the head of institutional trading at EFG-Hermes in Dubai.
“A lot of domestic investors are still away and the volumes were comparatively low, but there was less passive outflow than we expected.”
Emaar Properties led losses among big names, but finished above the psychologically important Dh7 level, ending down 1.5 per cent at Dh7.04.
Du and Emaar Malls were among the other blue chips to finish lower, while Emirates NBD was one of the few gainers.
GFH finished nearly 1 per cent higher at Dh1.02, after the Bahraini investment group announced that it had sold its 18 per cent stake in English football club Leeds United to Eleanora Sport for an undisclosed sum.
Shares in the capital were more subdued, with Abu Dhabi’s headline index finishing off 0.3 per cent at 4,499.26. FGB and ADCB fell, offsetting gains by UAB and Etisalat.
All other major bourses across the Arabian Gulf region remained closed yesterday. Trading will resume across the region on Sunday.
jeverington@thenational.ae
Follow The National's Business section on Twitter
