ArabianBusiness.com - Middle East Business News
Monday, 23 November 2009 12:54 UAE time

YOUR DIRECTORY /

| Share |

Markets suffer across the Gulf

by This email address is being protected from spam bots, you need Javascript enabled to view it  on Tuesday, 11 November 2008
ECONOMIC FEARS: Gulf markets extended losses on Tuesday. (Getty Images)

Gulf markets fell sharply on Tuesday, extended losses into a third day this week as uncertainty about the global economic outlook continued to grip investors.

The drop was led by Dubai, which plummeted over seven percent, while Abu Dhabi and Saudi Arabia both tumbled around 4.5 percent.

Dubai Financial Market Co., Emaar Properties and Arabtec Holding led the drop in Dubai, with Dubai Financial Market dropping the maximum 10 percent limit and Emaar and Arabtec falling 9.88 percent and 9.85 percent respectively.

Story continues below
advertisement

The main index closed down 7.29 percent at 2,343.15 points.

In Abu Dhabi the benchmark ended 4.87 percent lower on 2,975.28 points, dragged down by real estate stocks. Sorouh Real Estate tumbled 9.48 percent and Aldar Properties fell 8.45 percent.

"What I see is continued selling as we see that further liquidation of portfolios has not stopped. The share price decline is causing further negative sentiment and we haven't seen any catalysts [to stop it]," said Eric Swats, partner at Rasmala Investments.

"Lending rates in the Emirates have not declined like they have in the US. The cost of funds are still very high, so that creates constraints on funding."

In Saudi Arabian the benchmark closed down 5.21 percent at 5,465 points. Market heavyweight Saudi Basic Industries Corp. (SABIC) slid 7.17 percent.

In Doha the measure fell 6.25 percent to 6,342.48 points, with banking stocks pacing the losses. Commercial Bank of Qatar and Qatar Islamic Bank led the drop, down 8.05 percent and 7.76 percent respectively.

Kuwait's main index finished down 2.16 percent at 9,056.10 points. National Bank of Kuwait (NBK) fell 7.04 percent and Kuwait Finance House dropped 6.1 percent.

Muscat's main index closed down 1.99 percent on 6,568.58 points, with National Bank of Oman sliding 3.97 percent.

Bahrain's benchmark ended 2.74 percent lower on 2,105.97 points.

| Share |


READERS' COMMENTS

Disclaimer: The views expressed here by our readers are not necessarily shared by ArabianBusiness.com or its employees.
Time to Re-think
Posted by Johnson on Thursday 13 November 2008 at 07:50 UAE time


This is a chance to think all developing countries. Every body is looking to come first, but nobody giving concern about the poor ones. People are struggling to meet their expenses. Every year increasing rent with out any restriction. Poor peoples are struggling to find a place to lay their head. They are struggling to get normal treatment from the hospital, before this is free with nominal fees to every one. Every eye is looking to make money only. New rules are implementing to put more fees to each head to make new way to increase fund. But at last what we are gaining. Every thing we are loosing in one way or other. Time is not end , still we have time to re-think and correct our self.
Panic Selling?
Posted by LK, Dubai, UAE on Wednesday 12 November 2008 at 11:23 UAE time


There seems to be panic in the market, with the perfect storm of liquidity squeeze, over leveraged market punters getting caught in margin calls, global economic weakness with no end in sight, real estate correction and market seizure with no buyers available, banks stopping lending or creating new rules to constrict credit growth and "improve" asset quality - all points to a downward spiral in the stock market as people either sell and run away avoiding risk, or cash in their stock to pay for some other asset that is being squeezed. Looks very very bad at this point.

Click here to post a comment


Add your Comment
All posts are sent to the administrator for review and are published only after approval. ArabianBusiness.com reserves the right to remove any comment at any time for any reason. Please keep your responses appropriate and on topic.
Arabian Business would like to point out that only comments relevant to the story will be published. Any containing personal insults or inappropriate language will not be approved.
Name *
Remember me on this computer
Email *
(Your email address will not be published)
City
Country
Subject *
Comment *
Notify me of further comments


Please click post only once - your comment will not be published immediately.


MORE FROM ARABIANBUSINESS.COM

SHARE PRICE CHECK

more ยป MIDDLE EAST MARKETS DATA

ADX

Last Price:

2,901.46

+36.21+1.26%

23 Nov 2009 08:44 GMT
(Market Open)

RELATED STORIES

Abu Dhabi Securities Exchange (ADX)
| 184 stories
  1. Dubai index posts biggest one-day gain since Feb
  2. Property shares weigh heavily on UAE markets
  3. Banks to provide details of Saudi exposure
Bahrain Stock Exchange
| 122 stories
  1. On the REIT track
  2. Broad rally across Gulf stock markets
  3. UAE bourses hit fresh four-year lows
Dubai Financial Market (DFM)
| 309 stories
  1. Dubai index rebounds from 10-week low
  2. Kuwait's Zain slumps to new 24-week low
  3. Emaar leads gains as Dubai closes higher
Kuwait Stock Exchange
| 170 stories
  1. Aramex surges 5% as Dubai index closes higher
  2. Real estate, banks lift Dubai to higher close
  3. Kuwait bourse seals tech partnership with NASDAQ OMX
Muscat Securities Market
| 125 stories
  1. Profitability of Oman's listed firms fall in 2008
  2. Qtel helps Qatar bourse to buck Gulf trend
  3. Oman vows to push on with $350mn market fund
Qatar Exchange
| 131 stories
  1. Bank shares among biggest losers in Qatar in H1
  2. Bahrain spoils positive day for Gulf exchanges
  3. Vodafone Qatar launches IPO for local investors
Saudi Stock Exchange
| 138 stories
  1. Saudi index suffers biggest one-day fall since June
  2. Saudi stock exchange delivers 16% boost in H1
  3. ME stock markets need to be more open - report

 EMAIL ALERTS

  1. Abu Dhabi Securities Exchange (ADX)

  2. Bahrain Stock Exchange

  3. Dubai Financial Market (DFM)

  4. Kuwait Stock Exchange

  5. Muscat Securities Market

  6. Qatar Exchange

  7. Saudi Stock Exchange

  8. Financial Markets


CURRENCY CONVERTOR

Tell us your story

READER COMMENTS

  1. Dubai population grows 1.9% in Q2 07
    23 Nov ' 09 at 11:36
    While we all should agree that Dubai was over ambitious and the financial crises has left a big dent on the economy. Also the truth is...   More  »
  2. Dubai developers see negative press reports decline 05
    23 Nov ' 09 at 12:29
    Dubbo - Damage has been done more by change in laws in favour of developers, the impact due to negative press is minimal.   More  »
  3. Tougher checks proposed for foreign teachers 03
    23 Nov ' 09 at 08:17
    This must be done in order to get a qualified teacher. What is written on the CV should not be assumed correctly. There should be a...   More  »

Read all user comments >

Gitex 2009

MORE FROM ARABIANBUSINESS.COM