x Abu Dhabi, UAEMonday 24 July 2017

Positive feelings building up on UAE markets

Markets Update: Construction companies drove stocks higher on the Dubai bourse yesterday, as positive sentiment continues that the UAE property market is improving.

Sorouh stocks closed up 2.24 per cent. Stephen Lock / The National
Sorouh stocks closed up 2.24 per cent. Stephen Lock / The National

Construction companies drove stocks higher on the Dubai Financial Market General Index yesterday, amid continued positive sentiment that the UAE property market is improving.

Markets closed slightly up despite some early profit-taking to hold on to gains made so far this year.

The index closed up 0.88 per cent to 1,682.01. It has risen 24.28 per cent so far this year.

Emaar Properties rose 2 per cent, while Arabtec Holdings also rose just over 2 per cent.

However, analysts said trading volumes were thin as investors held fire.

"Investors are taking a breath," said Sherif Zeneiny, the head of equity trading at National Bank of Abu Dhabi. "Hardly any shares have moved today."

The Abu Dhabi Securities Exchange General Index closed up 0.31 per cent to 2,623.02.

Sorouh Real Estate and Aldar Properties, which announced they were looking into a US$15 billion merger this week, were still riding high on the index. Sorouh stocks closed up 2.24 per cent, while shares in Aldar rose to close 1.49 per cent higher.

Oil also rose again yesterday, on continued supply fears and positive indicators that global growth is back on track. The dated spot price of a barrel of Brent crude was up 0.19 per cent to $125.79.

Gold fell by 0.68 per cent to $1,688 a troy ounce.

lmiller@thenational.ae

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