Complex Made Simple

Dubai bourse ends the year positively

The Dubai market DFM added 0.54% to reach 1,630.52 points. Market bellwether Emaar Properties surged 2.60% to close at Dhs3.55. Trading volumes more than doubled to 115.6m shares worth Dhs183m. In 2010 the DFM lost 9.60%, making it the worst performing exchange in the GCC. Property shares weighed on the index as the real estate market has not find its bottom in 2010. Nevertheless Credit Suisse- analyst Jacqueline Madu is optimistic for 2011: "The real estate market (in the UAE)is gradually stabilizing and should begin to gain traction in 2011-2012 thanks to improving domestic economic and financial conditions. Meanwhile, exports have rebounded, providing a much-needed lift to growth this year." Ms. Madu adds: "Dubai World struck a debt-restructuring deal with its creditors in September. The accord has helped to ease concerns over Dubai's debt crisis, boosting investor confidence. The eventual resolution of the Dubai World saga should lead to greater improvements in banking and financial conditions by the end of 2010 and into 2011."