Markets Update: Dubai's markets fall, after earnings releases from some of the emirate's biggest banks and developers give scant encouragement to investors.
Dubai down, Abu Dhabi up as UAE markets walk different paths
A slew of earnings releases did little to lift stocks in Dubai, frustrating hopes of firmer signs of recovery in the emirate's economy.
The Dubai Financial Market General Index fell 0.7 per cent to 1,443.33, while the Abu Dhabi Securities Exchange General Index rose 0.2 per cent to 2,471.15.
Dubai's banks and property companies saw sharp falls in early trading after the release of earnings.
Union Properties' losses for 2011 widened 2.5 per cent to Dh1.56 billion, even though sales nearly doubled. The bank recently agreed a Dh2.7bn debt rescheduling and a Dh1.1bn transfer of property assets to Emirates NBD, its largest shareholder. The developer's shares fell 6.9 per cent to 29.3 fils each, the company's largest intraday fall in a year.
Dubai Islamic Bank reported full-year profits of Dh1bn, an increase of 25.2 per cent and in line with analysts' estimates. The bank's shares fell 1.8 per cent to Dh2.15 each.
Mashreq reported profits of Dh820m for 2011, a 2.1 per cent increase on a year earlier. However, the bank's loan book contracted sharply during the year, with net loans and advances falling 8.5 per cent to Dh37.7bn. The bank's shares, which are rarely traded, fell 9.9 per cent to Dh91.45 each.
Aramex's share were unchanged after reporting a 4 per cent increase in fourth-quarter profit to Dh211.5m.
Asian markets rose following improved manufacturing data from the US and the UK, with the Nikkei 225 gaining 0.7 per cent to 8,876.82 and the Hang Seng Index up 1.6 per cent at 20,669.41.
Oil prices increased, with Brent crude futures climbing 85 cents to $111.43 per barrel.