Domestic shares during yesterday's session achieved market gains of AED 9.6 billion. Two financial analysts said the positive news about Emaar Properties had a significant impact on increasing confidence in local equity traders.
The Dubai Financial Market rose 1.3% during the session yesterday, to close at 2774.87 points, supported by the rise of Emaar Properties by 2.48%, which achieved the highest activity in the market after taking over 32% of the total trading. The Dubai Financial Market (DFM) hit AED 4 billion yesterday.
GCC and foreign investors tended to buy heavily in the market with net buying of AED 2.7 million and AED 31.4 million respectively, while Arabs and nationals were net sellers at AED 6.7 million and AED 27.43 million respectively.
Institutions netted AED 25.85 million, while retail investors were net sellers at AED 22.9 million, while other investors recorded net sales of AED 2.9 million.
Shares of seven companies on the Dubai Financial Market rose more than 10% since the beginning of this month, led by Amlak Finance which rose by 18.38%, Salama which rose by 18.09% and Arabtec by 15.13%.
Abu Dhabi Securities Exchange
The Abu Dhabi Securities Market Index gained 1.22% to close at 5299.08 points, supported by the rise of the Bank of Abu Dhabi I, which rose by 1.52%, amid normal activity, after taking over 22.5% of the total value of trading, AED 5.6 billion.
GCC and foreign investors were net buyers at AED 6 million and AED 106 million respectively, while Arabs and nationals were net sellers at AED 6 million and AED 106 million respectively.
Institutions were net buyers at AED 588.7 million, while individuals were net sellers at the same value.
Return of confidence
The general manager of Al Ansari Exchange, Iyad Al-Barriqi, attributed the rise in local shares yesterday to the return of confidence in the market, stressing that levels of confidence are gradually increasing and support the market when positive news emerges.
He added that the results of the companies' business had a great role in supporting local stocks. He pointed out that the strong results of some companies during the first half of this year indicate the improvement of the economic climate, with expectations of the rest of the companies in the markets of Dubai and Abu Dhabi financial results of good business.
He confirmed that Emaar Properties supported the Dubai Financial Market significantly during the session yesterday, after the company entered into an agreement with Beijing Daxing International to implement a project worth 40.5 billion dirhams.
Wael Mohaysen, general manager of Global Equity & Bonds, said yesterday that the two markets responded positively to the positive news, particularly Emaar Properties' agreement, which led to increased confidence in the market. He pointed out that the real estate sector has been the biggest supporter of the Abu Dhabi Securities Market during the past period, in addition to the strong performance of the «Abu Dhabi I».