More losses in the Muscat and Dubai amid market panic
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More losses in the Muscat and Dubai amid market panic

More losses in the Muscat and Dubai amid market panic

Pressure continued for second day on GCC markets, with losses in Muscat and Dubai reaching 3.8% and 1.1% respectively. The Saudi market ended its week down 3.3%. The downward trend also continued in Doha, which fell 0.23%. Kuwait and Bahrain both rose slightly, by 0.22% and 0.07% respectively.

    Analysts said the Gulf markets are suffering from a lack of confidence, with international markets facing declining trends and the extensive sales by foreign investors, especially in Doha and Dubai.

    Dubai: small shares aggravates losses

    Contrary to expectations, the Dubai Financial Market (DFM) continued to witness heavy sales and speculation on small shares, pushing it further down.

    The DFM has lost 2.1% of its value in two days, after pressure from small shares. Leading shares retained their prices, including Emaar and Emirates NBD, which closed unchanged today.

    Arabtec has lost 11.6% of its value in two days, falling to Dhs16.80 after approaching Dhs20 10 days ago. DFM's share also fell by 3.3% and Etihad Properties by 5.6%.

    Expectation that Tamweel would post higher profits of between Dhs825m to Dhs850m did not prevent its share falling by 4.3% to reach Dhs6.80.

    Shuaa Capital's share fell for a second consecutive day by 1.6%, after the company posted a 10% decrease in its profits.

    The Abu Dhabi Securities Exchange also fell today, with pressure on leading shares, including Aldar, which fell by 0.85% despite trading Dhs183m out of the total trading of Dhs665m worth of shares on the market.

    Saudi Arabia: 3.3% weekly decline

    The Tadawul failed to turn yesterday's upswing into a trend, dropping 0.60% today. Following nine declining sessions until yesterday, it is no surprise that the market suffered weekly losses of 3.3%. Today it was not helped by a low trading value of SR3.3bn.

    All major sectors declined today, including Saudi French Bank, which lost 4.1%, although Samba and Al Rajhi banks rose slightly by 0.74% and 0.30% respectively.

    Sabic and other petrochemical shares continued to decline, while the electricity sector also fell by 2.1%. In the telecoms sector Mobily and STC fell by 2.1% and 1.1% respectively, with Zain closing unchanged.

    Kuwait market rises

    The Kuwaiti market rose today, with support from the banking and investment sectors. But the trading value continued to be low, at KD84.3m, with only 212 million shares traded.

    Share prices for some companies which had posted H1 losses improved, including Al Sahel, which was up 1.6% despite its 54% loss. Shuaa Capital declined by 5%, following its fall in profits.

    Muscat incurs heavy losses

    The Muscat market has lost 5.3% of its value in two days, after small investors rushed to sell randomly, fearing more falls in the market.

    Thirty-four listed firms declined today, against only five firms which saw a rise in its prices.

    All leading shares registered a sharp decline, including Gulfar by 6% despite trading OR2.5m out of total trading of OR11.5m. Muscat Bank fell by 3.2%, Omantel 4.1% and Al Nahda for Services by 6.7%.

    International Financial Services rose by 1.1%, following the announcement by the company that it has received a bid to sell its 23.2 million shares in United for Finance, with profits of more than OR7.9m.

    Doha: Lowest trading of the year

    The Doha stock market continued its downward trend, with only 4.7 million shares traded, including 500,000 for Al Rayan Bank, which fell by 0.50%.

    Leading shares continued to put pressure on the index, including Qatar Industries, Qtel, Al Mawashi and Barwa, which fell by 0.16%, 0.92%, 1.7% and 0.70% respectively. But Al Aqaria rose 2.4%, after its fair price was set at QR95 compared to QR75, its traded price in the market.

    Bahrain rises slightly

    The Bahrain stock market rose slightly today, after support from banks. Trading value continued to be extremely low - below BD500,000 - with under one million shares traded. This included 263,000 for Khaleeji Bank, which fell by 0.31%.

    Gulf Construction rose by 3.2%, Saudi Bahraini Bank by 2.6%, Bank of Bahrain and Kuwait by 1.4% and National Bank of Bahrain 1.2%.
    AMEinfo Staff

    AMEinfo staff members report business news and views from across the Middle East and North Africa region, and analyse global events impacting the region today.

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