Markets unruffled by euro turmoil

Brokers braced for a sell-off as the euro hit a one-year low and oil prices continued to fall

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The turmoil in global markets was barely felt locally yesterday as UAE bourses ended only slightly lower. In early trading, brokers braced for a sell-off as the euro hit a one-year low and oil prices continued to fall. There was chatter in the market that foreign hedge funds were shorting regional exchanges in anticipation of a spillover from US and European markets. But that did not materialise.

"While global markets fell over 2 per cent, [Dubai] only lost 0.3 per cent, which is a positive sign as the market is refusing to trade lower," said Saad al Chalabi, an institutional trader at AlRamz Securities, based in Abu Dhabi. The Dubai Financial Market General Index ended at 1,735.72 on volumes of 121.4 million. Emaar Properties shares changed hands the most but finished flat at Dh3.89. The Abu Dhabi Securities Market General Index fell 0.7 per cent to 2,778.85 on volumes of 66.3 million. Dana Gas shares were the most active, falling as much as 1.2 per cent before ending at Dh0.80.

The two largest listed Abu Dhabi-based developers also decreased substantially. Aldar Properties fell 3 per cent to Dh3.82, while Sorouh Real Estate fell 2.9 per cent to Dh2.27. Elsewhere in the region, Qatar's DSM 20 Index fell 1.3 per cent to 7,415.72, and Oman's MSM 30 Index lost 0.4 per cent to 6,830.09. Kuwait's bourse dropped 1 per cent to 7,178.60. Bahrain's main measure lost 0.5 per cent to 1564.10 and the Saudi Tadawul All-Share index lost 0.5 per cent to 6,846.34.