Property stocks dipped yesterday as institutional investors exited their positions before the year¿s end.
Property stocks dip as the year winds down
Property stocks dipped yesterday as institutional investors exited their positions before the year's end.
Aldar Properties, developer of the Yas Marina Circuit and Ferrari World, suffered the strongest selling pressure on the Abu Dhabi Securities Exchange. Its shares declined 2.1 per cent to Dh2.30 in the absence of positive catalysts to maintain the current price, said Ameed Kanaan, the general manager at Al Jazira Financial Services in Dubai.
"Its very normal," said Mr Kanaan. "There is no liquidity in the stock market, and institutional investors are exiting smoothly step by step ahead of the year's end."
Because of thin volumes, prices decline sharply when larger blocks of shares are sold, he said.
Other property stocks also fell. Sorouh Real Estate, Abu Dhabi's second-biggest developer, closed 1.7 per cent lower at Dh1.67, while RAK Properties declined 2.1 per cent to 46 fils. Arabtec Holding, Dubai's biggest listed contractor, fell 1 per cent to Dh1.95. Emaar Properties dipped 0.2 per cent to Dh3.59 a share. Dubai Financial Market Company, the Arab world's only publicly listed stock exchange, declined 1.3 per cent to Dh1.52.
Elsewhere in the region, Kuwait's measure remained unchanged at 6,788.30, Bahrain's index added 0.2 per cent to 1,427.14 and Oman's measure lost 0.1 per cent to 6,650.73. Qatar's index gained 0.8 per cent to 8,816.38 and the Saudi Tadawul All-Share Index rose 0.1 per cent to 6,517.46.