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Markets rebound pushed by Banking and Petrochemical shares

After a collective decline lasting for two or three sessions, most Gulf stock markets rebounded and rose including Saudi Arabia, Dubai, Doha and Abu Dhabi which regained some of yesterday's losses, while Muscat, the biggest loser, failed to regain more than 50% of its losses, which reached 2.2% of market value.

According to dealers, the purchasing orders of UAE and other Arab investors were behind the rebounding of the Dubai Financial Market by 0.50%, while foreign purchases were behind the rebound in Doha by 0.53% and Abu Dhabi by 0.69%.

Saudi’s market registered the highest rebound rate by 1%, while Bahrain market fell back by 0.08% after crossing the 2900 points mark yesterday.

Banks shares at Muscat, Doha and Kuwait were the subject of extensive trading which pushed indexes up, while the petrochemical sector pushed the Saudi market up.

Dubai: UAE and Arab deals behind the rebound

According to a DFM report, the biggest support came from intra-Arab deals which reached Dhs137.4m against only Dhs97.6m selling orders.

Emirates Dubai Bank has regained all of yesterday’s losses, which reached 2%, and pushed the index up today. Emaar too regained some of its losses rising by 0.90% to reach Dhs11.20.

Other leading shares losses continued today including Dubai Islamic Bank which fell by 0.56%, Amlak fell by 0.20% and Dubai Investments fell by 1.2%.

Taqa shares are back trading today after the company revealed details of its IPO, giving 75.1% to Abu Dhabi Electricity and Water Authority and Farms Owners Fund while 24.9% were allocated to the company’s shareholders.

Despite Taqa’s IPO revelations, the share went against the index, which rose by 0.69%, and declined sharply by 4.3% reaching Dhs3.74 reflecting the anger among traders who demanded the cancellation of all trading done on Taqa’s shares on Wednesday and Thursday last week.

Saudi Chemical shares decline in first day of trading

Saudi Chemical saw active trading today, dominating 15% of the total trading valued at SR1.5bn of the total trading which reached SR10bn. Despite this the share declined by 4.1% ending the session at SR115 compare to its SR120 opening price.

The Saudi index managed to end today’s session up 1% after extensive deals in the petrochemical sector, which rose by 2.5% led by Sabic which rose by 2.2%, trading SR1.1bn.

The increasing prices of petrochemical products pushed demand up on leading companies like Sabic, Al Mutaqadmeh, Kayan, Yansap and Chemical industries, which all posted strong rise today.
It is expected that these shares will witness more extensive deals after the industry announces its second quarter profits.

After a series of successive declines, cement shares started to pick up after digesting the government decision which banned exports of cement. Saudi Cement Company led the rise by going up 1.3%.

Kuwait: Approaching a new record

The Kuwait stock exchange maintained its upward trend for the third session, approaching a new record high of 15.500 points.

The support came from the banking sector which had registered losses for the last two weeks affected by the decision of the central bank to impose restrictions on personal loans.

Kuwait International Bank rose by 8.7%, Bobyan by 1.7%, Commercial bank by 1.3%, NBK and Burgan bank by 1% and Kuwait Finance House by 0.69%.
Arab Real Estate company share fell by 1.9% despite trading 13.7 million shares. Bayan also fell by 1.2% despite trading 12.2 million shares.

Doha: Foreign deals behind the rise

Doha’s bourse rebounded up by 0.53%, supported by the banking sector although the market traded less than QR1bn compared to over QR2bn last sessions.

According to dealers, selective foreign deals on certain shares were behind the index getting to its 2005 record highs of 12.500 points.

Qatar Islamic Bank made the highest rise, going up by 3% responding positively to the bank’s $5bn announcement that it would finance the setting up of a refinery in Malaysia.
Barwa Real Estate lost 2% after reaching QR90.

Muscat regains 0.50%

Muscat failed to regain more than 0.50% of yesterday’s losses which reached 2.2%.
Banks, which were behind the losses yesterday, were also behind the rebound today.
Doha traded 16.7 million shares valued at OR15.2m.

Muscat Bank, which fell by 4% yesterday, rose today by 0.25% only trading 1.3 million shares valued at OR2.5m.
Oman International Bank also rose by 0.50%, National Bank by 0.50%, while Sahara Bank remained unchanged.

Bahrain: Slight decrease

The Bahrain Stock market which crossed 2.900 points fell slightly by 0.08%.
The sharp rise of Bahrain Holding by 7.3% and Gulf Tameer by 4% helped the index to report slight decline.
Bahrain Middle East Bank traded 7.9 million shares out of total 11.6 million for the whole market but closed down by 1.7%.