Regional stock markets mostly declined yesterday over concern that lower oil prices, triggered by Europe's debt crisis, will hurt economies in the Gulf.
The district cooling company Tabreed lost 0.8 per cent to close at Dh1.20 on the Dubai Financial Market (DFM). Drake & Scull International, Dubai’s second-biggest contractor, lost 1.4 per cent to settle at 77 fils.
The DFM General Index was little changed at 1,471.49.
Brent futures for July delivery fell 57 cents to US$102.90 a barrel in London, Bloomberg reported.
The commodity lost 14 per cent of its value last month.
“There is no risk appetite right now because of what is happening in Europe,” said Wadah Al Taha, the chief investment officer at Al Zarooni Group, an investment company in Dubai.
“Volumes are low. We ended the month of May with Dh5 billion traded for UAE markets, compared to Dh11.5bn for April. It’s a significant drop,” he said .
Dana Gas, a UAE-based explorer and producer, fell 2.5 per cent to 39 fils in Abu Dhabi. Watania Insurance plummeted 10 per cent to 99 fils. The Abu Dhabi Securities Exchange General Index lost 0.3 per cent to reach 2,441.03.
Elsewhere in the region, Kuwait’s measure fell 0.7 per cent to 6,193.82, Bahrain’s added 0.2 per cent to close at 1,139.58, Oman’s MSM 30 Index declined 0.5 per cent to 5,754.69 and Qatar’s QE Index fell 0.6 per cent to 8.416.83.
The Saudi Tadawul exchange was closed for the day.
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