UAE bourses extend losses

The UAE’s bourses continued a run of losses as low oil prices and a looming Fed meeting caused investors to look elsewhere for returns.

The UAE's bourses continued a run of losses yesterday as low oil prices and a looming US Federal Reserve meeting caused investors to look elsewhere for returns.

The Dubai Financial Market General Index fell 3.5 per cent. All major stocks fell sharply, and only a handful of small-caps closed higher, while in the capital the Abu Dhabi Securities Exchange General Index fell 1.1 per cent.

US oil futures dropped about 3 per cent and traded just above US$42 per barrel early afternoon UAE time after crude inventories rose by 10.5 million barrels to 450 million in the week to March 13, according to data from the American Petroleum Institute.

Official inventory data was due later yesterday from the US energy information administration.

Brent crude edged down towards $53 per barrel.

Asmak, Abu Dhabi National Health and Gulf Pharmaceuticals recorded the biggest declines on the ADX, but were thinly traded.

Abu Dhabi Commercial Bank, Eshraq and RAK Properties all suffered significant losses, each with high volumes traded. ADCB fell 4.6 per cent to Dh5.82, Eshraq shed 4 per cent to 73 fils, and RAK Properties declined 2.7 per cent to 72 fils.

National Bank of Abu Dhabi gained 2 per cent, closing up at Dh12.75, while Aldar rose 0.45 per cent, closing at Dh2.25. Mashreq bank led declines on the DFM, falling by 8.3 per cent. Deyaar weakened by 6.2 per cent, while Dubai Islamic Bank lost 5 per cent. Ajman Bank was one of three shares to rise on the DFM, climbing 8.9 per cent to close at Dh2.2. Dar Al Takaful and Dubai Islamic Insurance also gained.

* with Reuters

* with Reuters

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