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Dubai Financial Market index slides 2.3 per cent

The index closed 2.3 per cent down to 428 yesterday as the total losses mounted to 5.5 per cent during this week. The index gained about 20 per cent from July end but lost some of the gains since the second week of this month.

Market intermediaries see this as a normal price adjustment. “There is nothing unusual about the profit taking happening on the market. The volumes are still high which means that investors are willing to trade and we expect them to accumulate during the days ahead,” said a DFM broker.

With the holy month of Ramadan approaching, some brokers are worried that the activities will slow down from next week. Lending credence to such views, the Abu Dhabi market also has been reporting losses since the beginning of this week. The Abu Dhabi index closed 0.9 per cent down at 3594.8 yesterday as the national benchmark NBAD General Index closed 1.3 per cent down at 11,915.

Across the two bourses, the market traded 199 million shares worth Dh1.38 billion. DFM reported across the board fall in share prices with property major Emaar closing 2.4 per cent down at Dh13.70. While Amlak and Arabtec lost 2.8 per cent each, Aramex and du were down 3.3 per cent and 4.6 per cent, respectively. Islamic mortgage lender Tamweel which reported big gains last week was down 3.8 per cent yesterday.

In the banking sector Commercial Bank of Dubai and Dubai Islamic Bank slipped 3.6 per cent and 3 per cent, respectively. On ADSM, National Bank of Abu Dhabi gained 1 per cent as rest of the banking sector shares reported small losses. In the services sector Etisalat closed 20 fils down at Dh19.50.