Equity market traders want to milk the news on possible removal of cap on ownership in banks as well as the slew of deals signed by UAE companies in China. First Abu Dhabi Bank first initiated the proposal to allow 100 per cent foreign ownership followed by similar utterances from Etisalat. In more positive news, Emaar Properties bagged a $11.5 billion (Dh42.21 billion) project with an airport in Beijing, boosting local bourses. The Dubai Financial Market general index continued its gaining streak for a fourth straight session and closed the day on a high.
The index ended at the day’s high of 2,855.74, up 0.82 per cent. The index has gained 4.28 per cent in three of the past four session, and accumulated 8 per cent gains since July 9, when the index breached its 50-day moving average. Traders may look to hold and add selectively. The index is poised to target 3,200 level in coming weeks, Shiv Prakash, senior analyst with First Abu Dhabi Bank Securities said in a note, adding that the index may reach this level only if a weekly close of 2,850 is seen.
Emaar Properties and other Emaar subsidiaries continued to gain for another session.
Emaar Properties closed 1.17 per cent higher at Dh5.21. Traders may look to add on dips and may target Dh5.51/6/6.55 by the year end, Prakash said. Emaar Malls closed 3 per cent higher at Dh2.13. Damac Properties closed 5.88 per cent stronger at Dh0.990, DFM rose 7.56 per cent to end at Dh0.839. Total traded value jumped 3 times to Dh383 million, compared to the 30-day average of Dh110 million.
The Abu Dhabi Bank Securities Exchange general index closed 0.25 per cent higher at 5,357.01. Abu Dhabi Commercial Bank closed 0.56 per cent higher at Dh9.00. DANA GAS closed 5 per cent higher at Dh1.04. Saudi Tadawul index closed 0.12 per cent lower at 8,785.74. Al Rajhi Bank ended flat at 71.10 riyals. The Muscat MSM 30 index closed flat at 3,765.06. —VoM