Etisalat and Emaar lead gains in UAE bourses

Stocks in Dubai and Abu Dhabi gain as confidence returns to market following sell off earlier in the week.

UAE stocks advanced on Tuesday as a sell-off at the beginning of the week was judged to be overdone.

In Abu Dhabi, Etisalat, the country’s biggest publicly traded mobile phone operator, continued to make gains ahead a possible inclusion the MSCI Emerging Markets index this month when the index compiler undertakes a scheduled review of companies that make up the measure.

Emaar Properties, the biggest publicly traded real estate developer, led the gains in Dubai.

The Dubai Financial Market General Index increased 0.7 per cent.

The Abu Dhabi Securities Exchange General Index rose 0.5 per cent. Emaar jumped 2.3 per cent, while Etisalat rose 0.7 per cent.

“I will not say a rebound, but the market has started to stabilise,” said Sebastien Henin, head of asset management at the National Investor, an Abu Dhabi-based asset manager.

“For Dubai there’s some return of confidence in the market. In Abu Dhabi, Etisalat rose on expectations that it will be included in the MSCI EM index.”

Etisalat has been gaining after the company's board of directors approved a plan in September to allow non-Emirati investors to own shares in the company.

Follow The National's Business section on Twitter