Markets Update: Dubai shares track global markets amid fears that European policymakers will not be able to contain a worsening debt crisis.
German bond failure reflects on UAE markets
Dubai's shares declined on Thursday, tracking global markets, after a disappointing German bond sale raised alarm among investors.
Emaar Properties, the region's biggest developer, lost 0.8 per cent to Dh2.48 a piece. Gulf Navigation, Dubai's only publicly traded tanker owner, slumped 3.1 per cent to 22 fils. The DFM General Index lost 0.2 per cent to 1343.69 points. Abu Dhabi's ADX General Index lost 0.3 per cent to 2421.98 points.
Germany failed to reach its maximum sales target of €6 billion ($8 billion) at an auction of securities due in January 2022. Total bids amounted to €3.88 billion, falling short by 35 per cent, Bloomberg reported.
"Unfortunately we are following the downtrend we have seen over the past few weeks," said Sebastien Henin, a portfolio manager at Abu Dhabi's The National Investor. "There is no volatility, no volume and a complete lack of newsflow."
Elsewhere in the region, Kuwait's index lost 0.3 per cent to 5778.90 points. Bahrain's measure lost 0.6 per cent to 1153.53 points. Oman's MSM 30 Index was little changed at 5414.29 points. Qatar's QE Index lost 0.2 per cent to 8558.22 points. The Saudi Tadawul was closed for the day.