Markets Update: UAE stock markets rose this morning, as global sentiment improved and after European Central Bank's president said he would take measures if the euro-zone debt crisis worsens.
UAE markets lift amid global rebound
UAE's stock market rose on Thursday, amid signals that European policymakers are trying to resolve Spain's banking crisis.
In Abu Dhabi, the emirate's bourse was lifted by banking stocks.
Abu Dhabi Commercial Bank, the country's third-biggest lender, jumped 3.5 per cent to Dh3.19 at the opening bell. Sharjah Islamic Bank gained 2.3 per cent to 86 fils. First Gulf Bank, the lender controlled by Abu Dhabi's ruling family, rose 0.3 per cent to Dh8.50.
The Abu Dhabi Securities Exchange rose 0.3 per cent to 2443.11 points.
Yesterday, European Central Bank chief Mario Draghi said he was "ready to act" to prevent the euro-zone contagion from spreading further.
"We are seeing a good day, but its not being supported by turnover or conviction," said Marwan Shurrab, the chief trader at asset-manager Gulfmena Investments in Dubai.
"Many are waiting for European markets to get a clearer picture, plus its the last day of the trading week here and many don't want to take the risk and have open positions in the event global markets lose steam on Friday."
In Dubai, District cooling company Tabreed gained 2.5 per cent to Dh1.20 on the Dubai Financial Market. Tamweel, the mortgage company complying with Shariah rules, rose 1.7 per cent to Dh1.14. Arabtec Holding, the biggest contractor in the UAE, added 0.7 per cent to Dh2.84.
The Dubai Financial Market General Index rose 0.4 per cent to 1461.74 points.
Elsewhere in the region, Kuwait's measure added 0.1 per cent to 6094.01 points. Bahrain's index was unchanged at 1132.17 points. Oman's MSM 30 Index added 0.1 per cent to 5792.24 points. Qatar's QE Index was little changed at 8336.70 points.
The Saudi Tadawul was closed for the day.
In Asia, markets also rose on improved global sentiment.
Japan's Nikkei Index rose 1.2 per cent to 8639.72 points. Korea's Topix Index rose 1.7 per cent to 730.75 points. Hong Kong's Hang Seng Index rose 0.8 per cent 18,679.00.
European stock futures were also up this morning, indicating a positive opening.
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