Kuwait-based Hits Telecom was the top traded stock on the Dubai Financial Market yesterday. The local bourses were boosted by foreign investors buying positions in UAE equities.
Hits Telecom a target for investors
A Kuwaiti company was the most actively traded stock in Dubai yesterday, and local equities were boosted by foreign buying.
Hits Telecom rose 4.3 per cent to 89 fils as 24.6 million shares changed hands.
The company has a dual listing on the Kuwait Stock Exchange and the Dubai Financial Market (DFM).
"It's mainly due to arbitrage opportunities on the shares at the moment, by going long in Kuwait and selling positions in Dubai and vice versa," said Marwan Shurrab, the chief trader at Gulfmena Investments in Dubai. He said such trades were often made by large shareholders trying to benefit from the volatility.
Local equities on the Dubai bourse advanced.
The DFM General Index rose 0.4 per cent to 1,570.30 points.
Tamweel, the Islamic mortgage financing company, was up 2.9 per cent to 85 fils. Emaar Properties was up 1.6 per cent to Dh3.15.
"The recent activity has mostly been driven by retail investors closing positions, with foreigners being net buyers at these levels," said Anastasios Dalgiannakis, a trader at Mubasher Financial Services in Dubai.
The Abu Dhabi Securities Exchange General Index added 0.3 per cent to 2,650.88 points. Aldar Properties rose 1.4 per cent to Dh1.44.
Elsewhere in the region: Kuwait's index rose 0.4 per cent to 6,495.60 points; Bahrain's index was unchanged at 1,377.89 points; Oman's measure lost 0.2 per cent to 6,120.75 points; Qatar's benchmark lost 0.6 per cent to 8,626.02 points. The Saudi Tadawul All-Share Index gained 0.2 per cent to 6,651.37 points.