Stocks of the UAE and other GCC soared, determined by grouping various factors from fairly good looking first-quarter statistics and foreign ownership of Qatar limited removal to oil demand outlook and falling inflation of consumer in Saudi Arabia.
The Dubai Financial Market marked 2.5% higher at 2, 533 points. This resulted as Emaar Properties soared 6% that is the best performance year-to-date. This made Dubai’s rise for the second-sharpest single-day rise in the year 2021. Because of the expanded rally to the remaining share of the property, with Emaar Developments up 5%, the index boosted. Consequently, Damac Properties and Deyaar Development competed beyond 3%.
Earnings extend rally
In most of the recent sessions, Dubai’s real estate sector saw a significant rise. It was buoyed by more than a twofold uptick in the sales of Emaar Properties’ sales’ digits. This could refer to the pattern of how property firms have fared in the first quarter of the year 2021. This argument was encountered by Deyaar Properties. The figures of their profit came out to be more than five-time than the year 2020. As the demand increased in the first three months of the year 2021, Deyaar’s topline also expanded by 51%.
In addition to this, the index of Saudi Arabia’s benchmark increased from the recent losses by rising 1.4% to 9,988 points, where the banking stocks are leading advanced. The Al Ranjhi Bank and Saudi National Bank moved higher by 2.6- and 3.6%, respectively. Not lagging behind, the petrochemical makers—Saudi Basic Industries, Saudi Kayan Petrochemical, and Sahara International Petrochemical moved upwards.
Moreover, the trading oil closed for a one-month high, and inflation of consumers is taking a dip in the domain offered guidance to the investors.
According to sources, Abu Dhabi Securities Exchange marched 1.5% up to 6,132 points, rose up by stocks of banking. “First Abu Dhabi Bank, Abu Dhabi Commercial Bank and Abu Dhabi Islamic Bank advanced with Aldar Properties trading past 1% and obviously getting its clues from Dubai property shares.”
Air Arabia is getting there
All the main sectors, other than industrials, were rising up which results in the global risk-on sentiment in Dubai, according to Kaia Parv of FXPrimus.
“Airlines were leading the gains as the expectations for the leisure travel are picking up globally. Air Arabia’s jumped 5.60% to Dh1.32, but the price has not recovered to the pre-pandemic levels of Dh1.57. However, investors have been hopeful that with a successful vaccination program rollout in the UAE, Air Arabia will be able to capitalize on the leisure travel in the Middle East.”
Gaining most in a year
Furthermore, Qatar Exchange moved most this year, rising 2.8% to 10,899 points. A draft law has been approved by the cabinet that was designed that allows foreigners to take ownership of publicly trading companies. The banking sector of Dubai is the biggest gainer where Qatar Commercial Bank and Qatar Islamic Bank are at the top.
The financial market moved upward into Kuwait and Brahmin. However, there are some stocks that headed downward with investors leading selectively as they lagged appropriate direction without any significant earnings announced yet.
The index of 30 companies of Oman edged back 0.2% with result-announcing companies moving sideways. As per Gulf News,
“Al Anwar Investments, Al Batinah Power, Sembcorp Salalah dropped as their bottom-line dipped in the first three months. On the other hand, Galfar Engineering and Contracting jumped 8.7% after swinging into first-quarter profits from being a loss-maker a year earlier. Bank Nizwa climbed 1.1% as its quarterly net income rose to OR3 million from OR2.8 million last year.”
Source: Gulf News
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