Dubai's stock-market jumps to one year high as 'macroeconomic backdrop' shows improvement, broker said.
Dubai stock market reaches one-year high
Dubai stocks surged to a one-year high ahead of an expected US$670 billion cash injection by the European Central Bank to stem the euro-zone debt crisis.
Dubai Financial Market Company, the only bourse in the region to sell its shares to the public, surged 9.1 per cent to Dh1.09. The benchmark Dubai Financial Market General Index added 1.9 per cent to 1,730.41.
Asian markets held steady before the expected announcement. Seoul added 1.3 per cent to 2,030.25, Hong Kong gained 0.5 per cent at 21,680.08 and Tokyo was unchanged at 9,723.24.
"The macro-economic backdrop is positive," said Hassan El Salah, the head of institutional sales at Al Ramz Securities in Abu Dhabi. "Confidence has turned around and investors are coming back to the market."
The Abu Dhabi Securities Exchange General Index was up 0.5 per cent to 2,607.73. Gains were led by property stocks.
Aldar Properties, the developer behind the Yas Island development, jumped 6.8 per cent to Dh1.25 a share. Sorouh Real Estate, the capital's second-biggest developer, surged 7.6 per cent to Dh1.26.
Elsewhere in the region: Kuwait's measure lost 0.3 per cent to 6,097.20; Bahrain's measure added 0.7 per cent to 1,148.33; Oman's benchmark rose 0.4 per cent to 5,837.84; Qatar's QE Index added 0.4 per cent to 8,734.18. The Saudi Tadawul All-Share Index added 0.8 per cent to 7,226.43.