Doha/DUBAI: Egypt’s main stock index jumped 1.4 percent yesterday to its highest level since January 2011 after a major political protest in the capital ended relatively peacefully, while other Gulf markets were mixed.
Qatar Exchange was down yesterday 10,336.13 points or 0.22 percent to 23.28 points from the previous closing.
The volume of the shares up to 29,674,190 and the value of shares increased to QR908,961,136.16.
Among the top losers were Nakilat down 1.22 percent to QR20.19, United Development Company lost 0.60 percent to QR23.38, Doha Insurance fell 2.31 percent to QR25.40 and Barwa decreased by 1.37 percent to QR28.80.
The Banking and Financial sector index was lost 0.46 percent points while Consumer Goods and Services sector index fell 0.24 percent points. The industrial sector was down 0.05 percent points while insurance sector added 0.76 percent points.
The Egyptian market is in a strong uptrend because of hopes that the army-backed government will succeed in managing a tricky transition to elections next year, and because of hopes for billions of dollars in additional aid from Egypt’s Gulf allies in coming months.
Dubai’s measure rose 1.1 percent to 2,888 points as local retail investors continued to position for the Nov. 27 announcement on whether the emirate’s bid to host the Expo 2020 world fair is successful. Property developer Emaar gained 2.0 percent.
The index faces major technical resistance around 2,900 points; the market stalled in this area in late October and early November.
Saudi Arabia’s index continued to retreat, sliding 0.3 percent in a bout of profit-taking after a three-week rally.
The correction spread to Qatar, where all trades had been cancelled on Tuesday because of a technical problem. The index rose in early trade yesterday as buy orders left over from the previous day went through, but it then pulled back quickly and closed 0.2 percent lower.
However both markets, which are seen by investors as more conservative and defensive than those in the UAE, could gain further before the end of the year as a region-wide search for dividend yields continues.
“I think many investors are reducing their exposure to the UAE after a very good run,” said Ali Adou, portfolio manager at The National Investor in Abu Dhabi.
Saudi Arabia’s index is up 23 percent year-to-date and Qatar is up 24 percent, while Dubai has gained 76 percent and Abu Dhabi sits on a 45 percent gain.
Bahrain’s index slid 0.5 percent, largely driven by Ahli United Bank which dropped 2.2 percent after it issued two announcements on Tuesday and yesterday saying “key persons” — a legal term describing board members and top executives — had sold some stock at $0.70 per share. The stock closed at $0.68.
QNA/Reuters
