x Abu Dhabi, UAEThursday 27 July 2017

DFM touches 12-week low

Local stocks sink as world markets try to interpret this week's election results from France and Germany and the price of oil slumps further.

Brent crude fell after a flat close on Monday, shedding US$1.15 to reach $112.51 per barrel. Daniel Acker / Bloomberg News
Brent crude fell after a flat close on Monday, shedding US$1.15 to reach $112.51 per barrel. Daniel Acker / Bloomberg News
Stocks in Dubai hit a 12-week low yesterday.
The Dubai Financial Market (DFM) General Index fell 0.5 per cent to 1,555.89, while the Abu Dhabi Securities Exchange (ADX) General Index was flat at 2,486.12.
Global markets remained jittery as investors weighed this week's election results in France and Greece.
Brent crude fell after a flat close on Monday, shedding US$2.70 to reach $110.90 per barrel.
Amid the fall in oil prices, investors were increasingly concerned about the effect on local companies' profits, said Marwan Shurrab, the chief trader at Gulfmena Alternative Investments.
Volumes also fell because of contradictory signals on global markets, Mr Shurrab added.
"It's confusing the investors across the region in identifying a real trend in the markets," he said. The developer Emaar Properties was the biggest loser on the DFM, falling 0.9 per cent to Dh3.01 on the index.
Shares in DFM Company, the name under which the publicly listed market itself is traded, fell 3.6 per cent to Dh1.05 after the company reported a surge in quarterly earnings on renewed investor interest in Dubai's market since the start of the year.
Telecommunications stocks steadied the ADX, with Qatar Telecom's Abu Dhabi-listed shares jumping 3.7 per cent to Dh140, their highest level since 2008 after the company announced a network tie-up with BT. Etisalat's stock gained 0.2 per cent to Dh8.64. ADX decliners included First Gulf Bank and Sorouh Real Estate.
Kuwait and Bahrain fell and Oman and Qatar rose. The Saudi Tadawul All-Share Index rose 0.1 per cent to 7,371.42.
ghunter@thenational.ae