UAE markets up on global cues
Dubai, June 11, 2012
UAE markets extend a rebound as improved global market sentiment tempted buyers back in. In Dubai, Emaar Properties added 1.4 percent, while Abu Dhabi's Sorouh Real Estate and Aldar Properties rose 1 and 0.9 percent respectively.
Aldar and Sorouh have started due diligence on a potential merger, the pair said on Sunday.
"The strong closing of Saudi yesterday, optimism on Spainish news, China rate cuts ... and the rally in Asian markets have all contributed to the positive sentiment," says Joice Mathew at United Securities. "We expect it to continue for a while."
Dubai's index rose 0.8 percent to 1,473 points, taking its gains to 2.6 percent since June 4's four-month low. Abu Dhabi's benchmark climbed 0.1 percent to 2,458 points.
Elsewhere, Oman's measure extended losses, slipping 0.2 percent to 5,746 points.
Oman Telecommunications (Omantel) fell 0.3 percent and HSBC Oman Bank dropped 1.6 percent.
Bank Nizwa fell 4.4 percent. The Islamic lender surged 12.8 percent on its bourse debut on Sunday. "The market is muted barring Bank Nizwa," says Mathew.
"Activity on the stock is dominated by retail investors but we are seeing some buying from local institutions at lower levels."
Kuwait's measure also fell, retreating 0.4 percent to 6,087 points.
Qatar's index is near-flat at 8,305 points. - Reuters