Qatar ends 9-day losing streak; UAE markets end mixed

FRESH HOPE: Qatar's benchmark QSI has shed 30% since Jan 11.(Getty Images)

Gulf Arab bourses were mixed on Thursday as investors either looked for bargains after recent falls or sold on fears fourth-quarter results in the oil-exporting region would continue to disappoint.

Qatar's main benchmark QSI, which tumbled 8.26 percent on Wednesday, snapped a nine-day losing streak as local investors picked off bargains.

"Qatar has seen the highest correction we have seen since the beginning of the year, so this is a technical rebound," said Samer al-Jaouni, general manager of Middle East Financial Brokerage Co.

The index has shed more than 30 percent since Jan 11.

"Local speculators are coming into the market and making a quick trade to make quick profit," Jaouni adds.

In Oman, blue chip stocks surged as retail investors speculated in anticipation of a government stock market stabilisation fund.

Citing an unidentified Commerce Ministry official, Al Zaman newspaper reported on Thursday the fund would enter the market next week. Rashid Salim al-Masroori, chairman of the Investment Stability Fund, said on Jan. 15 that Oman was pushing ahead with plans to shore up its bourse through a 150-million-rial ($389.6 million) market fund in partnership with the private sector.

"We are witnessing some rebound because Al Zaman newspaper reported the stabilisation fund will be launched," said Adel Nasr, local brokerage manager at Muscat-based United Securities.

United Arab Markets seesawed as uncertainty reigned over fourth-quarter earnings and the impact of the global economic downturn on the world's fifth-largest oil exporter.

"Markets have dropped heavily and we are seeing some buying from retail investors who are trying to speculate a little," Haissam Arabi CEO and Fund Manager of Gulfmena Alternative Investments, a regional hedge fund company under formation.

"That doesn't change the that fact we still have pressure and uncertainty and earnings are still not out."

Abu Dhabi Commercial Bank and Aldar Properties dragged the market more than one percent down, while Emaar Properties helped lift Dubai's benchmark 0.73 percent. Kuwait ended lower for a sixth straight session, while Bahrain also fell. (Reuters)

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