Fourth day of Saudi share gains

Gulf shares had their best day in a week on Tuesday thanks to a fourth straight day of gains by Saudi stocks. UAE equities finished a quiet day slightly higher.

The Tadawul closed up 1.1 per cent at 7,091.88, the index’s highest level in more than two weeks, as investor optimism following last week’s results announcements showed no sign of abating.

Al Rajhi Bank and Savola led gains, rising by 0.6 per cent and 3.6 per cent.

The Dubai Financial Market General Index closed 0.3 per cent higher at 3,719.99. Trading volumes were nearly half the average of the year to date.

“You’d expect that there will be profit-taking after the next batch of fourth-quarter results in the next week or so,” said Sanyalak Manibhandu, NBAD Securities’ head of research.

“However, if crude continues to hold steady people will be loathe to be risk off in their approach, so if there is a drop it may well be quite light.”

Mashreq and DIB led big-name gainers in Dubai, rising 13 per cent and 0.7 per cent.

Emaar Properties, the index’s heaviest weighted stock, fell 0.5 per cent to Dh7.56.

Arabtec Holding shares fell 1.4 per cent, to Dh1.43, after the company announced the adoption of a new risk-management plan.

Shares in Abu Dhabi ended a similarly quiet day up 0.5 per cent at 4,679.26.

Gains by FGB and Etisalat led the way, offsetting losses by Aldar Properties and ADIB.

Eshraq Properties rose 0.8 per cent, to Dh1.21, after the real estate firm announced the award of a contract to Intermass Engineering & Contracting as part of its Jumeirah Village Circle project in Dubai.

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