Investors in the region bag profits as Eid holiday nears
UAE bourses dropped slightly yesterday as investors booked profits ahead of the Eid holiday next week, when markets will be closed.
The Abu Dhabi Securities Exchange General Index drifted 0.1 per cent lower to 2,758.44 points as speculation on whether Aldar Properties will secure government funding put pressure on stocks. Aldar fell 3.4 per cent to Dh2.26.
Analysts said a "de-risk situation" would encourage markets, particularly the property sector, to move after Eid if Aldar received a loan from the Abu Dhabi Government that did not directly impact on shareholders.
Yazan Abdeen, a fund manager at ING, said: "The previous risk of investor dilution in Aldar was high but there is no risk from the Abu Dhabi Government diluting shareholders."
Waha Capital dropped 1.3 per cent to Dh0.78 after news that the investment holding company had completed its acquisition of a 20 per cent stake in AerCap Holding, based in the Netherlands.
The Dubai Financial Market General Index fell 0.8 per cent to 1,691.65.
Air Arabia lost 1 per cent to Dh0.79 after it reported slightly better than expected third-quarter net profit of Dh136 million, compared with Dh144m in the same period last year. Union Properties was one of the big losers on the day, dropping 4 per cent to Dh0.41 as its third-quarter loss almost trebled from the same period a year ago.
Other GCC markets were mixed: Qatar gained 0.4 per cent to 8,073.72; Bahrain rose 0.2 per cent to 1,450.41; Kuwait fell 0.6 per cent to 6,950 and Oman added 0.6 per cent to 6,620.55. The Saudi Tadawul All-Share Index was closed for the day.
UAE markets will be open on Sunday but closed for the rest of the week.
Published: November 12, 2010 04:00 AM