UAE stocks rose for a third straight session on Tuesday as investors continued to be upbeat about economic prospects for the country.
Dubai Financial Market, the only publicly traded stock exchange in the Arabian Gulf, was among the biggest gainers after the company reported buoyant earnings.
The Abu Dhabi Securities Market Index rose 0.5 per cent, while the Dubai Financial Market General Index climbed 0.7 per cent higher.
Dubai Financial Market said after the market closed on Monday that its fourth-quarter profit leapt more than fivefold as revenues more than doubled. Its net profit rose to Dh78.5 million in the last three months of the year from Dh15.5m in the same period of 2015. The exchange’s revenues rose to Dh131.2m from Dh69.3m.
Shares of Dubai Financial Market closed 3 per cent higher at Dh1.37
Other signs of increased economic growth in the UAE following several dismal years after the 2014 oil price crash include higher levels of non-oil business activity in January, according to the purchasing managers’ index sponsored by Emirates NBD, Dubai’s biggest bank.
The latest PMI data released on Sunday showed that a rise in new orders, higher output and improved demand from overseas helped the UAE’s non-oil companies to grow in January. The Emirates NBD/IHS Markit PMI rose to 55.3 for last month, up from 55.0 in December.
A rebound in the price of oil is also helping to boost confidence. Brent crude traded in London has gained over 2 per cent this month. The price of oil lost up to 70 per cent of its value since it began its long drop in the summer of 2014.
mkassem@thenational.ae
Follow The National's Business section on Twitter
