Markets end losing streak

UAE markets made slight advances yesterday, helped by gains in property and construction stocks.

Emaar signs, Dubai, June 28th 2009.  Duncan Chard for the National *** Local Caption ***  TN090608DC049.jpg
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DUBAI // UAE markets made slight advances yesterday, managing to break a six-session losing streak, helped by gains in property and construction stocks. Arabtec, the UAE's largest construction firm, advanced 4.3 per cent, bellwether Emaar Properties added 1.2 per cent, and Union Properties rose 1.5 per cent. The Dubai Financial Market General Index closed 0.9 per cent up at 1,688.11.

"Markets were broadly positive today and a major chunk of gains was added by construction and real estate stocks. Market had suffered in the absence of a catalyst all last week and it was bound to bounce back," said Chahir Hosni, the equity sales manager at EFG-Hermes in Dubai. "Trading volume has significantly risen in Abu Dhabi, and is better than the past week in Dubai, which is a good sign," Mr Hosni added. "This is the beginning of a rally, which we expect to continue this week."

In Abu Dhabi, the main measure closed up 0.2 per cent at 2,679.50, helped by gains in Aldar Properties and Sorouh Real Estate, which advanced 2.7 per cent and 2.3 per cent, respectively. Arkan Building Material added 2.1 per cent, while RAK Properties rose 1.8 per cent. Elsewhere in the region, markets closed mixed, with the Muscat measure dropping 0.9 per cent. Kuwait and Bahrain measures each fell 0.3 per cent. The Qatar index was the biggest gainer among the regional markets, ending 1 per cent higher at 6,754.73. It was helped by advances in banking and insurance stocks.

Saudi Arabia's Tadawul closed up 0.2 per cent at 4,409.04, with Saudi Electricity gaining the most, ending up 6.6 per cent.