Complex Made Simple

Relief rally boosts Dubai market by 8.5 percent

An oversold Dubai Financial Market (DFM), which lost over 15 percent in the last two weeks on jitters triggered by the Syria crisis, jumped 8.56% on Tuesday to close at 2,522.47 points. Twenty-eight out of 29 traded companies posted upticks after a diplomatic solution seemed to be possible to end the Syria crisis through diplomacy. The foreign ministers of Russia and Syria accepted a U. S. proposal to put Syrian chemical weapons under UN monitoring. Shares of Islamic bank Ajmanbank, DFM (the sole Arab market listed to the public) and Dubai Investment advanced 14.50% in value. Like the market index, bellwether share Emaar gained 8.5% to reach Dhs5.76. Arabtec Holding, the first construction firm in the UAE, surged 1.27% to hit Dhs2.37. Better than expected economic data from China added to the bullish mood on the DFM's trading floor. According to China's National Bureau of Statistics, the industrial output in the world's second largest economy surged 10.4%in August year-on-year, while retail sales gained 13.4%. Trading volumes more than tripled as 1.14bn shares valued at Dhs1.354bn changed hands.