By: Mahmoud Gamal
Dubai – Mubasher: The Dubai Financial Market’s (DFM) general index lost 12.28 points, or 0.4%, to close at 3,071.09 points on Sunday on the back of selling pressure.
The DFM’s trading volume shrank to 77.81 million shares from 155.29 million on Thursday, while the market’s liquidity dropped to AED 96.29 million, compared to AED 252.39 million in the previous session.
Many investors have transferred their capital to the Saudi market after the recent upgrade by The Financial Times Stock Exchange Index (FTSE Russell), which dragged down the UAE’s stock markets, Manaf Almallouhi financial analyst told Mubasher.
In March, FTSE Russell has announced that Saudi Arabia will be assigned a secondary emerging market status within the index’s country classification scheme conjunction as of March 2019.
Also, the increase in interest rates – which propels investors to opt for sukuk and bonds as a more profitable alternative – is an effective factor in this stagnation, Almallouhi added.
This dull position is expected to continue unless the Emirati markets do not become attractive again, the analyst said.
The consumer staples sector tumbled 3.2% after DXB Entertainments dropped 3.5% to AED 2.35, while the real estate sector shed 1.06%, as Union Properties, Arabtec Holding, and Damac Properties lost 2.5%, 2.21%, and 1.9%, respectively.
Emaar Properties went down 0.54% to AED 5.5.
The telecommunication sector and its only stock, du, levelled down 0.4% each.
The banks sector inched down 0.07%, as GFH, Ithmaar Holding, and Amlak sank 1.5%, 1.48%, and 1.4%, respectively, while Khaleeji Commercial Bank (KHCB) plunged 5.23%.
On the other hand, the transportation sector rose 1.3%, as Aramex surged 3.6%.
The investment sector added 0.29% after Dubai Investments gained 1.4% to AED 2.11.
Translated by: Muhammad Khalid
