The profits announced by Sabic and Emaar, the two largest companies in terms of market value, have failed to push up the index of the two biggest financial markets in the region and stop the declining trend.
Sabic has posted its highest Q2 profits at SR7.5bn compared to SR6.4bn last year, while H1 profits jumped to SR14.5bn, rising 13%.
Sabic shares rose by only 1.4% as the share failed to push the market to rise.
The Tadawul rose by only 0.09% today.
Emaar shares also failed to push the UAE market up, even after the company announced a 7% rise in profits to Dhs3.3bn, as analysts were expecting H1 profits to fall.
Emaar fell by 0.50% to Dhs10 arousing new fears in the market.
Despite the decline Dubai Financial Market rose by 0.40% compared to 0.93% at ADX.
Other Gulf markets also rose today except for Muscat, which fell by 0.36%.
KSE rose by 0.46%, Doha by 0.80%, and Bahrain by 0.02%.
Dubai: UAE Takaful rises 346% in first day of trading
According to financial analysts, political instability in the region and the belief among portfolio managers that leading firms can't post record growth have had a negative impact on the market.
The newly listed UAE Takaful jumped by 346% in its first day of trading, similar to that of Ajman Islamic bank when it was newly listed.
Takaful shares opened the session on Dhs4.5 compared to Dhs1 of its IPO price, then jumped to Dhs5.63 before falling to Dhs4.01.
The shares traded Dhs199m, or 26% of the total market trading, which reached Dhs763.2m.
Initially, the DFM witnessed a considerable jump after Emaar was pushed to Dhs10.20 then fell to Dhs10 with no influence from its profits on traders.
Other leading shares, which posted higher profits, received a more positive reaction, including Emirates-NBD which rose by 0.85%, DIB by 1.4%, while Air Arabia shares jumped by 4% to Dhs1.59 after asharp decline last week.
Abu Dhabi: Gulfar profits jump 69%
Gulfar shares rose by the maximum limit of 10% after a 96% increase in profits, which reached Dhs122.2m from Dhs62.3m last year.
Abu Dhabi Islamic Bank share rose by 0.03% despite a 50% increase in profits.
Methaq continued to be the most active share with trading value of Dhs175.2m out of total trading of Dhs656m rising by 0.76% to Dhs7.64.
Saudi Market closes slightly up
The Saudi market managed to close slightly up after turning from decline in the first 30 minutes of trading after support came from the petrochemical sector, especially Sabic, which traded SR953.5m out of total trading of SR8.4bn.
According to analysts, the declining profit of Samba by 5% for Q2 and H1 had a negative impact on the market and on Sabic's movement, which was expected to drive the rise today.
Samba's share fell by 2.5% to SR77 and influenced other leading shares like Al Rajhi and Al Inmaa, which fell by 1.1% and 2.9% respectively.
On the other side, Al Arkan House shares rose by 4.7% after the company posted a 47% increase in Q2 profits, which jumped to SR687m, and a 27% increase in H1 profits which reached SR1.1bn, overcoming analysts' expectations which estimated its profits to reach only SR500m.
Kuwait market back to 15,000 points mark
The service and investment sectors provided a good push to the KSE index to return to its historical mark of 15.000 after falling below it following a sharp decline in the last three weeks.
Kuwait's Al Ahli bank shares rose by 3.6% to KD1.140 after the bank announced that it will raise its capital by 20% to KD131.7m from KD109.8m through a rights issue of KD0.6 per share.
Global shares also rose by 1.9% after a rumour, which was later denied by the company, that it posted KD40m profit after selling its stake in Al Manar and Al Fajr re-insurance companies.
Doha and Bahrain: Three shares behind the rise
After a series of sharp declines, Doha's market posted its highest rise among all GCC markets after support came from QNB which rose by 2%, Qtel, which went up 1.1% and Qatar Industries by 0.11%.
Naqilat and Welfare dominated 33.7% of the total trading, which reached 8m shares, rising by 2.2% and 4% respectively.
Qatar Commercial bank's H1 profit jumped by 60% to QR1bn from QR625m, pushing the share up by 1%, while Qatar Water and Electricity profit jumped by 4.3% pushing the share up 0.29%.
Bahrain's market slightly rose up after three listed firms went up, Al Khaleej Construction by 4.3%, Bank of Bahrain and Kuwait by 0.70% and Bahrain National Bank by 0.25%.
Bahrain's trading value fell sharply to BD1.1m on a volume of 1.6m shares.
Muscat: Trading volume falls by 100%
Trading value fell sharply today at Muscat market to OR5.7m on volume of 7.9m shares after leading shares in the service and industrial sectors witnessed sharp selling operations.
Omantel led the decline by 0.38%, while Resot Cement fell also by 1%, Fulltamp by 1.3%.
Bank Muscat rose by 0.50% and Ahli bank by 1%.
Building Industries share fell by 1.2% despite a 156% increase in profits, while Ports Services saw the highest rise by 3.5% after a 51.6% increase in profits at OR4.7m from OR3.1m.