Markets Wrap: Moody's Investors Service upgraded the debt of Dubai Electricity and Water Authority yesterday to Ba1 from Ba2 on good liquidity and expectations of growing profits.
Dewa's vote of confidence
Dubai Electricity and Water Authority (Dewa) was upgraded by Moody's Investors Service yesterdayamid expectations of increasing profits for the emirate's utilities monopoly.
"Moody's expects Dewa to continue to improve its credit metrics as a result of growing revenues and cash generation, thereby reducing volatility in operating performance," the ratings agency said.
Local markets were mixed yesterday after upbeat earnings from Abu Dhabi lenders lifted investor sentiment, while Dubai lenders weighed on the emirate's index after results showed sluggish growth amid higher provisions.
First Gulf Bank rose 0.3 per cent to Dh14.25 after the lender said third-quarter net profit rose 8 per cent to Dh920 million. Bank of Sharjah, also listed in Abu Dhabi, jumped 3.4 per cent to 91 fils a share before its expected earnings release today.
The Abu Dhabi Securities Exchange General Index rose 0.2 per cent to close at 2,446.71.
Emirates NBD dropped 4.5 per cent to Dh3.54 after Dubai's biggest lender by assets said net profit dropped 59 per cent to Dh175m.
The Dubai Financial Market General Index declined 0.3 per cent to 1,359.77.
Elsewhere in the region: Kuwait's index gained 0.1 per cent to 5918.50; Bahrain's measure was little changed at 1,144.40; Oman's index was flat at 5,538.75; and Qatar's QE Index added 0.3 per cent to 8,457.95.
The Saudi Tadawul All-Share Index was little changed at 6,132.25.