Dubai, Abu Dhabi end lower as banks fall

Dubai's index DFM ended lower for the seventh session in nine as Emirates NBD and Emaar Properties both tumbled, while Abu Dhabi also declined.

Emaar fell 4.5 percent and Emirates NBD lost 4.3 percent, dragging the bench-mark down 2.6 percent to 1,859 points. It has fallen 15.4 percent since hitting a seven-month closing high on June 14.

"Prices had outpaced any potential positive surprises in second quarter results and so investors have to book profits," says Julian Bruce, EFG-Hermes director of institutional equity sales.

Abu Dhabi's index ADI ended slightly lower, sliding 0.1 percent to 2,628 points, its sixth straight loss as volumes slumped to a four-week low.

Abu Dhabi Commercial Bank plunged seven percent after a banking source said the lender had at least at least $500m in exposure to troubled Saudi business groups Saad and Algosaibi.

Aldar Properties fell 4.8 percent.

Qatar's index QSI ended higher for a second session, bolstered by gains in property stocks.

Masraf Al Rayan and Qatar Real Estate Co climbed 2.4 and 4.7 percent respectively.

The index rose 2.1 percent to 6,660 points as 19 stocks advanced and none declined. The benchmark is down 9.7 percent since reaching a seven-month closing high on June 7 as investors booked profits from a 74 percent, 14-week rally.

Kuwait's index KWSE ended lower for the first session in three, sliding 0.6 percent to 8,140 points.

Mobile Telecommunications Co (ZAIN) and Kuwait Finance House each fell 1.6 percent.

"The market ran up quite a bit, but found strong resistance at 8,300 points and has now given up some of these gains," said Shahid Hameed, Global Investment House head of asset management for the Gulf region.

"The index should move in a sideways trend, with one day up and then one day down in the absence of any triggers to move it substantially in either direction."

Bahrain's measure BAX fell for the fourth day, sliding 0.4 percent to 1,613 points.

Muscat's index MSI ended lower for a third day following a late slump as losers outnumbered gainers 21 to 5.

Bank Muscat was the top trader, accounting for nearly a fifth of all shares changing hands, and it climbed one percent.

Al Jaziera Services fell 3.1 percent and Oman Telecommunications (Omantel) dropped 0.4 percent.

"Most of Al Jaziera's investments are in Dubai stocks, so with the Dubai market down it came under pressure," said Adel Nasr, United Securities brokerage manager.

"Galfar is its main investment in Oman and this also fell, which added to the pressure."

Galfar Engineering Services fell 0.7 percent, helping to drag the index 0.1 percent lower to 5.695 points.

National Bank of Oman (NBO) rose 1.3 percent and Bank Sohar added 1.2 percent.

"The Oman market was very dull, with an absence of institutional buyers in the bluechips. Foreign institutions were selling Renaissance," added Nasr.

Renaissance Services fell 0.8 percent. (Reuters)

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