UAE markets close lower

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UAE bourses ended in the red yesterday as questions about Dubai World's debt negotiations weighed on investors' minds. The Dubai Financial Market General Index ended 2.2 per cent lower at 1,586.14. Shares of Deyaar Development closed the session 4 per cent lower at Dh0.47. Emaar Properties dropped 3.6 per cent to close at Dh2.90. The Abu Dhabi Securities Exchange General Index closed 0.1 per cent lower at 2,750.27. Etisalat, which this week reported that it would distribute Dh4.3bn of dividends, closed 0.8 per cent higher at Dh11.95.

Sorouh Real Estate shares dropped 1.37 per cent to close at Dh2.16. Abu Dhabi's second-largest developer said it expected the UAE property market to stabilise this year. Waha Capital, an investment and leasing company based in Abu Dhabi, said its board had approved selling a sukuk worth Dh1bn. Waha's shares slid 1.1 per cent to close at Dh0.90. The main measures in Kuwait and Qatar closed lower, down 0.5 per cent and 1 per cent, respectively. The Muscat Securities Market closed 0.2 per cent higher, while the Saudi Tadawul All Share Index ended unchanged.

"In addition to some recent cautious economic commentary, investors are perhaps bracing themselves for more negative news out of the Dubai World debt restructuring and its impact on the broader economy," said Saud Masud, an analyst at UBS in Dubai. "It is difficult to get constructive on the market with this looming overhang." @Email:[e-mail]