A week of massive decline as UAE shares lose Dhs51bn

In trading today, Gulf markets closed down, with the exception of Bahrain, which rose just under 0.5%.

Muscat had the biggest decline today, dropping 5%, followed by DFM at 2.5%, Doha at 2.1%, ADX at 1.3% and KSE at 1%, after the government announced that it is willing to support the bourse.

UAE: weekly decline of 7.1% and Emaar tops trading

The UAE general index fell by 7.1%, which increases the decline rate to 19.3% since January 2008.

However, trading value increased to Dhs7.8bn from Dhs4.3bn last week, with a weekly value of Dhs5.1bn for DFMi and Dhs2.6bn for ADX.

Emaar traded Dhs1.5bn, representing 29.5% of DFM's overall trading. This did not stop Emaar falling by 13.6%, pushing the index below 4,300 points.

On the ADX, Aldar pressurised the index, which is falling towards 4,000 points. The developer plunged by 4.4% to Dhs7.61.

Dubai stops trading on DIB share

Emaar fell to a new record low of Dhs7.5, following extensive sales by foreigners, pushing the share down by 3.5%.

Other shares were also greatly affected by the decline of Emaar, including Arabtec, which slump by 7.7%, Deyyar 3% to Dhs1.64 and Tamweel by 6.2%, following the police investigations into its top management.

Meanwhile, trading was stopped on Dubai Islamic Bank (DIB), following rumours that the company had acquired the assets of Plantation Holding. This was confirmed by a letter from the bank, adding that it has taken over the company's project in Dubailand.

Earlier DIB was part of a probe in a corruption case, pushing the share down by 3.1%.

Kuwait's investment authority steps in to help KSE

Kuwait Stock Exchange managed to reduce its losses, following the decision by government's investment authority to support the market through three of its funds, the aim being to help KSE rise again and regain losses which have reached 25% over the past two months.

Leading shares continued to pressure the index, including KFH, which fell by 4.4% and Global 3.4%. But some leading shares did stabilise, including NBK, Zain and Kuwait's Projects.

Muscat has biggest decline of the day

Muscat continued its downward trend, after being the best Gulf bourse in the first half of 2008 with a rise of 30%. Since June it has lost those gains, with the market now down 9.1%.

Muscat Bank saw the biggest decline, down 9.1%, with Omantel down 4.2% and Gulfar 5.7%.

The meeting held by minister of trade with pension funds failed to encourage the market to perform better.

Doha follows the path of Muscat

The Doha market has lost all of its gains made since the beginning of the year. Having been up 25%, the market is now down 1.6%.

The shares of 31 listed firms declined today, with just four rising, including Al Rayyan, which traded 1.9 million shares out of total 8.8 million for the whole market.

Industries Qatar continued to put pressure on the index, which fell below 9,500 points, with IQ down 4.6%. Qatar Commercial Bank fell by 5.6%, Doha Bank 3.4% and Barwa 3.7%.

Bahrain the only winner today

The Bahraini market managed to rebound today, but still ended the week down by 1.8%, after support from Ahli United Bank, up 3%, Batelco up 1.3% and Bahrain Islamic Bank up 0.39%.

Other leading shares fell. Al Salam dropped sharply by 2.6%, despite trading 1.1 million shares out of total 2.1 million shares and around BD1m. Ithmaar Bank fell by 3.1% and GFH 2.3%.