SINGLED OUT: Dubai market set to rise further, according to Bank of America research note. (Getty Images)

In a note issued Monday, Bank of America said Persian Gulf stocks are a 'trading buy' after trailing gains in oil and emerging-market stocks this year so far.

Data compiled by news agency Bloomberg said the MSCI GCC Countries Index of Gulf shares has climbed 16 percent this year, compared with the 51 percent rally in oil and the 41 percent advance in the MSCI Emerging Markets Index.

In a an e-mailed note, reported by the agency, Michael Hartnett, chief global equity strategist at Bank of America in New York, said Dubai shares are the best in the region to own for a 'trade' after the market’s price-to-book ratio slid to 56 percent below that of the MSCI emerging markets index.

Saudi Arabia shares are the best long-term investment in the region, however, because of the nation’s 'vast' oil reserves, diversified economy, 'underleveraged' banking system and large population.

Comments (1)

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Key words were to own for a trade
Posted by Andy, Taipei, Taiwan on 1 June 2009 at 23:45 UAE time

which means he would not hold them lol.. I think they are good to trade as well now but only to trade. Sort of reminds me of the local real estate market.

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