Market Wrap: Banks lifted Abu Dhabi's index higher yesterday as trading on stocks increase momentum.
NBAD, ADCB and UNB stocks bounce back
Banking stocks ended two days of consecutive losses as shares rebounded on the Abu Dhabi bourse yesterday.
National Bank of Abu Dhabi, the country's largest bank by assets, was up 0.8 per cent to Dh11.30. Union National Bank rose 2.5 per cent to Dh3.58 a share and Abu Dhabi Commercial Bank gained 1.9 per cent to Dh3.09.
The Abu Dhabi Securities Exchange General Index was up 0.4 per cent to 2,673.97 points.
"The banking sector is still the leading sector, and may even override trading on property stocks in the medium term," said Wadah Taha, the chief investment officer at Al Zarooni Group in Dubai.
"Their core operations are encouraging for the third quarter as revenues from capital gains increase and declines on allocations of provisions are helping earnings stabilise." UAE shares, in keeping with regional and international markets, declined on Sunday and Monday as Barack Obama, the US president, and Republican legislators were at a stalemate over the country's debt ceiling, which must be raised by next Tuesday to avoid default.
Dubai's benchmark was unchanged at 1,511.65 points, as Emaar Properties said net profit for the second quarter dropped 69 per cent to Dh250 million.
The company fell 0.3 per cent to Dh2.88 a share on the Dubai Financial Market.
Elsewhere in the region: Kuwait's index gained 0.3 per cent to 6,089.10 points; Bahrain's index was unchanged at 1,299.86; Oman's measure added 0.1 per cent to 5,946.28; and Qatar's index was unchanged at 2,673.97.
The Saudi Tadawul All-Share Index was little changed at 6,476.59.