UAE stocks continue slide amid bearish global trend

Abu Dhabi: The UAE stock markets continued their slide on Sunday in line with the bearishness prevailing in global financial markets. Markets worldwide were highly volatile last week, impacted by lifetime-high oil prices and a weak dollar. Traders were unnerved by global concerns that the US economy is fast heading towards recession. The Emirates Securities general index fell 1.25 per cent yesterday to 5,932.96 from 6,008.17, its previous close. The Abu Dhabi Securities Market (ADSM) general index fell 1.07 per cent to 4,681.97, while the Dubai Financial Market (DFM) index closed at 5,675.47, down 1.36 per cent. Market analysts, however, said the fundamentals of the UAE economy are strong and the domestic bourses will bounce back into positive territory soon. « This is a temporary phase. If the first quarter results of major listed companies are strong, it will cement the belief of investors that over the long term, the UAE markets are immune to the shocks in the global economy, » said an investment banker. The ADSM was dragged down by the energy sub-index that fell 2.80 per cent, followed by industrial sub-index that declined 2.30 per cent. Shares valued at more than Dh426.31 million were traded, with the volume of shares exceeding 70.43 million. Aldar Properties was the most actively traded, while Emirates Driving Company was the main gainer closing 2.20 per cent higher at Dh6.51. Oman & Emirates Inv. Holding was the main loser, declining 6.10 per cent to Dh6. On the DFM, more than 170.67 million shares valued in excess of Dh838.1 million were traded. AirArabia’s stock was the most active by volume, while Dubai Refreshments (DRC) was the main gainer. DRC’s shares rose 4.85 per cent to close at Dh17.30. Oman Insurance was the main loser declining 4.98 per cent to Dh9.74 at close.