Dubai's stock market inched lower yesterday in the absence of strong catalysts and as negative sentiment triggered by disappointing earnings encouraged investors to close their positions ahead of the weekend.
"Corporate earnings that have been released so far do not excite investors, especially on the banking sector, where lower provisions were driving sequential earnings growth instead of the core business," said Tariq Qaqish, the deputy head of asset management at Al Mal Capital.
Emirates NBD, the country's biggest bank by assets, on Wednesday reported a net income of Dh641 million in the first quarter, a decline of 54.6 per cent from the same period last year. Only 854,561 shares were traded yesterday, as the stock rose 1.4 per cent to Dh2.85.
Emaar Properties,the developer of the Burj Khalifa, fell 0.9 per cent to Dh3.25. Tamweel, a Sharia-compliant mortgage company, dropped 3.9 per cent to Dh1.21. The district cooling company Tabreed fell 4.1 per cent to Dh1.38. The Dubai Financial Market General Index slipped 0.5 per cent to 1,651.90.
In Abu Dhabi, Aldar Properties, the developer behind Yas Island and Ferrari World, slumped 1.7 per cent to Dh1.13. Sorouh Real Estate, the capital's second biggest developer, declined 0.8 per cent to Dh1.13. The Abu Dhabi Securities Exchange General Index slipped 0.1 per cent to 2,507.90.
Kuwait's measure was little changed at 6,337, Bahrain's lost 0.2 per cent to close at 1,145.24, and Qatar's QE Index rose 0.1 per cent to 8,661.46. The Saudi Tadawul exchange was closed.
