x Abu Dhabi, UAETuesday 23 January 2018

Asian markets show signs of rallying but not enough to impact UAE

Markets Update: Quiet trading on local bourses even after Japan's benchmark rebounds for the first time since the devastating earthquake - with video.

Trading on the local bourses were subdued at the open even after the Asian markets rebounded.

The Dubai Financial Market General Index was up 0.3 per cent to 1451.60 points at 10am, while the Abu Dhabi Securities Exchange General Index was flat at 2616.26.

Japan's Nikkei 225 Index rose 5.6 per cent to 9093.72 points, the first positive trading session since the devastating quake. The wider Topix Index added 6.6 per cent to 817.71.

"The Asian gains are not that substantial and we still have more uncertainty in our neighbouring countries," said Marwan Shurrab, the chief trader at asset management company Gulfmena Alternative Investments in Dubai.

Bahrain's King Hamad declared a three month state of emergency martial law on Monday. The Gulf country's stock exchange suspended trading after the announcement, according to a statement on its website.

"The instability in the region, with demonstrations across Libya, Yemen and now Syria for the first time is affecting geopolitical risk in the region and is not inviting to international investors," Mr Shurrab said.

Oil prices remained essentially flat from Monday. Brent crude for April was down 0.2 per cent to $108.30 a barrel. Gold retreated 0.6 per cent to 1398.43.

Elsewhere in the region, Oman's measure gained 0.6 per cent to 6334.99. Qatar's benchmark lost 1.4 per cent to 8184.71. The Saudi Tadawul All-Share Index lost 3.5 per cent to 6011.85.