x Abu Dhabi, UAEThursday 20 July 2017

Dubai property companies hit hard

Concerns over a slowdown in global economic growth and Eurozone debt overshadowed regional news and weighed on investor sentiment on local bourses.

Emaar Properties shed 1.6 per cent to Dh3.02. Steve Crisp / Reuters
Emaar Properties shed 1.6 per cent to Dh3.02. Steve Crisp / Reuters

Dubai's property heavyweights were the biggest losers in the emirate as bearish investors extended a losing run for the index.

Emaar Properties, the developer of the Burj Khalifa, shed 1.6 per cent to Dh3.02. It is at its lowest price for two months as almost 11 million shares changed hands.

Deyaar Development slipped 1.6 per cent to 30 fils and Arabtec retreated 1.5 per cent to Dh1.27.

Shares in Gulf General Investment Company were one of only two stocks that gained on the market, as it rose 2.6 per cent to 31.8 fils. Gulf General reversed losses it made earlier in the week following its announcement it had defaulted on almost Dh500 million of repayments on bank loans.

The Dubai Financial Market (DFM) General Index fell 1.2 per cent to 1,526.39 points, its lowest point since March 23. Losses on international markets and a sliding oil price have dictated the movement of regional markets in recent weeks, prompting investors to sit tight.

The market has lost almost 10 per cent in a month.

Brokers and fund managers have also begun a sell-off in stocks as the summer hiatus approaches.

"There is not any sign of rebound right now, and even if it rebounds the market is still going in a downtrend channel," said Amjad Bakir, the trading manager at Menacorp Alternative Investment in Abu Dhabi.

DP World, the ports operator, said yesterday it expected to list shares on the London Stock Exchange on Wednesday, in a move to boost liquidity. The Abu Dhabi Securities Exchange General Index was down 0.6 per cent to 2,600.28 points.

fhalime@thenational.ae