By: Mahmoud Gamal
Dubai – Mubasher: The UAE stock markets are likely to see a bullish trend amid rising selective buying by foreign investors following the Cabinet’s recent decisions, analysts told Mubasher.
By the end of Wednesday’s trading session, the Abu Dhabi Securities Exchange (ADX) rose on the back of the banks and energy sectors, while the Dubai Financial Market (DFM) was dragged down by profit-taking after snapping a three-session winning streak.
The UAE bourses were mixed on Wednesday, particularly the DFM, due to profit-taking, technical analyst Jamal Abdul Hamid told Mubasher.
He indicated that Emirates NBD Bank and Sberbank of Russia have reached a final agreement, upon which the Dubai-based lender will purchase a 99.85% stake in the Russian bank’s Turkish unit Denizbank, which have boosted purchases over the last trading sessions.
The UAE Cabinet’s recent decisions were the main catalyst of pushing up the Emirati stocks over the past two sessions, he pointed out.
On Sunday, the UAE Cabinet, headed by vice president and ruler of Dubai Mohammed bin Rashid Al Maktoum, announced a new long-term visa to some international investors and talented professionals, allowing 100% foreign ownership in companies.
Accordingly, the DFM hovered above 2,918 points to 2,960 points yesterday, Abdul Hamid said.
The DFMGI could not maintain rising to 2,977 points on Wednesday as profit-takings weighed on Emirates NBD and Emaar Properties, which has negatively impacted the index to be again, he highlighted.
The DFMGI is projected to move in an upward trajectory on Thursday and break 2,952 points to test 3,003 and 3,067 points, the analyst forecast, adding it may see a rebound at 3,193 points.
Translated by: Mai Ezz El-Din
