UAE, Qatar benchmarks rise in thin trade

Muted trade hinders significant moves on Abu Dhabi bourse as investors await new catalysts
UAE, Qatar benchmarks rise in thin trade
Dubai stock market
By Reuters
Tue 05 Jul 2011 11:15 AM

Abu Dhabi's benchmark rose for a third session, but muted trade hinders significant moves as investors await new catalysts.

The emirate's index climbed 0.5 percent to 2,729 points, a two-week high as banks support. Abu Dhabi Commercial Bank rose 2.2 percent and Abu Dhabi Islamic Bank added 2.4 percent.

"The markets have done pretty well to consolidate - we're probably four weeks away from major earnings results and it will be sideways and drifty until then," says Matthew Wakeman, EFG-Hermes managing director for cash and equity-linked trading.

"People are positioned for the results, but need evidence of earnings growth before building new positions."

Dubai's index gained 0.2 percent to a two-week high of 1,559 points, but volumes slumped to a three-week low.

Logistics operator Aramex rose 0.6 percent, Dubai Financial Market gained 0.8 percent and Emirates NBD went up 1.6 percent.

Saudi Arabia's market ended near-flat as investors traded cautiously ahead of second-quarter earnings, with energy and agriculture and food stocks lending support.

The main benchmark edged up 0.02 percent to 6,627 points, within 35 points of Sunday's four-week high.

Food Products Co gained 1 percent and Almarai Co climbed 1.8 percent. Mobily advanced 2.8 percent.

The petrochemical index slipped 0.2 percent and the banking index eased 0.07 percent.

Elsewhere, Qatar's index ended 0.2 percent higher at 8,502 points, a fresh six-week high.

Gainers outnumbered losers 12 to six, with Qatar Islamic Bank up 1.5 percent and Industries Qatar climbed 0.4 percent.

Oman's shares rose for a fourth session as investors picked up beaten-down stocks ahead of second-quarter earnings season.

The benchmark ended 0.3 percent higher at 5,950 points, extending gains since June 28's 23-month low.

"The market will remain at the same levels for the next few days, waiting any positive results for the second quarter," says Osama Ibrahim Al Qinna, head of brokerage at Oman Arab Bank.

"Resistance is at 6,080 level and support at 5,816."

Oman Telecommunications Co (Omantel) gained 0.5 percent and National Bank of Oman rose 0.3 percent.

Gainers outnumbered loser 13 to nine.

Elsewhere, Kuwait's index ended 0.3 percent higher at 6,214 points, rising for a second session since Sunday's four-month low.

Zain climbed 2 percent, Kuwait Finance House gained 2.1 percent and National Industries Group advanced 4.5 percent.

For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.