Banks were the big winners on UAE bourses yesterday at the end of a roller-coaster week for property stocks, as investors turned to favour safer assets.
Shares in the Commercial Bank of Dubai closed up 7.84 per cent on the Dubai Financial Market (DFM) General Index. Dubai Islamic Bank stock ended the session 1.83 per cent higher.
Shares in National Bank of Abu Dhabi jumped 8.26 per cent on the Abu Dhabi Securities Exchange (ADX) General Index.
However, both bourses closed lower. The DFM General Index was down 0.45 per cent at 1,683.41. The ADX fell 0.16 per cent to 2,625.85.
Property stocks weighed on both markets.
Union Properties and Deyaar Developmentfell 3.23 per cent and 2.81 per cent, respectively.
In Abu Dhabi, shares in Aldar Properties and Sorouh Real Estate fell throughout the day, the first session for a week in which the companies lost ground after riding high on news of a possible merger between the two property giants.
Sorouh closed down 4.14 per cent at Dh1.39. Aldar ended trading 3.45 per cent lower at Dh1.40.
The prices of the two stocks have been within a hair's breadth of each other since two weeks before they announced on Sunday that they intended to merge.
"We are seeing minor profit taking. After two days of solid gains on Aldar and Sorouh, investors had to take a breather," said Sherif Zeneiny, the head of equity trading at National Bank of Abu Dhabi. "We expect the market to stabilise in the near future."
The FTSE Nasdaq Dubai UAE 20 Index closed at 1,694.15 yesterday, down 1.57 per cent from the previous close.