Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

UAE equities to stay bullish  Join our daily free Newsletter

MENAFN - Khaleej Times - 15/12/2013
No. of Ratings : 0
Add to Mixx!

(MENAFN - Khaleej Times) The UAE stock markets will maintain the upward trend in near term and enters 2014 on a high note as investors are expected to pour investment in key scripts in banking, real estate and construction sectors.

The fund managers and analysts say the market is likely to further strengthen its position next year in the wake of positive economic indicators and strong recovery in real estate sector. They say equities are well positioned to capitalise the gains on sustainable basis after securing Expo 2020 bid and its formal inclusion in Morgan Stanley Capital International (MSCI) Index next year.

Omniyat Group executive chairman and chief executive Mahdi Amjad said that a combination of factors - Dubai Expo 2020 and recent mortgage regulations - would trigger higher growth for the real estate industry in Dubai next year.

Shailesh Dash, chief executive of Al Masah Capital Management, said outlook for the UAE stock markets is strong, but it needs fresh catalysts like developing of an IPO market to sustain the upward trend for a longer term.

"Given the rally seen in 2013, our outlook on the stock markets is similar to our general outlook which is that 2014 will be a further validation of the recovery cycle and a consolidation of the gains seen this year," Dash told Khaleej Times.

The Dubai Financial Market's General Index surged 4.79 per cent last week while trading volumes surged to 639.86 million shares on the weekend. The Abu Dhabi market also recorded 1.55 per cent growth with a steady rise in trading volumes.

Emaar Properties led the rally in real estate sector with 13.05 per cent increase in its share value to Dh7.36. Deyaar shares climbed 9.58 per cent while Arabtec and Union Properties stocks rose 4.18 per cent and 2.85 per cent, respectively.

In banking sector, Dubai Islamic Bank and Emirates NBD advanced four per cent and 163 per cent, respectively.

Saleem Khokhar, head of equities at National Bank of Abu Dhabi's Asset Management Group, said last week that real estate and banks are likely to continue to attract investor attention in coming days.

Dash said the regional markets should look forward to the MSCI inclusion of Qatar and UAE, as this event will provide support and a psychological base throughout the year. However, he said the proposed tapering of the Federal Reserve's asset purchase programme may have a negative affect on emerging markets.

"We believe the tapering off when it starts in USA will have a negative affect on most of the emerging markets, thereby sentiments for the GCC markets as well. But, we strongly believe the fundamentals of the GCC stock markets is very strong and any such decline should provide a great opportunity to increase stakes in the local markets," he said.

To a question, he said Dubai's rally would need fresh triggers, as it's a thin market with only 10 stocks providing the bulk of the gains.

"The UAE in general needs the IPO market to really pick up and they need the new IPO's to happen here and not be transplanted to London. We feel very strongly that a strong extension of the 2013 rally will be based on a strong local IPO pipeline," he said.

In reply to a question, he said integration of UAE markets will be a step in right direction and will boost the investor sentiments in the region.

"We are heading in the right direction and similar to the MSCI saga, we think eventually all the boxes will be ticked and the powers to be will give the final blessing. Whenever it happens in 2014, it will be viewed very favourable and become a key catalyst alongside the MSCI inclusion. But like the MSCI process, we have seen many stops and starts so we temper our expectations and hope to be pleasantly surprised if it does happen soon," Dash concluded.


Khaleej Times

  MENA News Headlines
 Oct 28 2016 - Egypt, Poland 2016 trade exchange to reach USD600mnMENAFN
(MENAFN) The volume of trade between Egypt and Poland is predicted to reach USD600mn by the end of this year.Furthermore, trade exchange increased by 3 percent to surpass more than USD350mn amid the ...

 Oct 28 2016 - UAE, Oman ink transport agreementMENAFN
(MENAFN) The UAE and Oman signed an international road transport of passengers and goods deal.Moreover, the deal aims to enhance cooperation in this field for the benefit of the two fraternal peoples ...

 Oct 28 2016 - Viva Kuwait Q3 revenue down by 14pctMENAFN
(MENAFN) Viva Kuwait recorded a 14 percent decline in Q3 net profit, as the impact of lower oil prices on the Kuwaiti economy dragged on revenue generation.Moreover, the Saudi Telecom Co. subsidiary ...

 Oct 28 2016 - Qatar- Labour Minister elected Chairman of ALO boardGulf Times
(MENAFN - Gulf Times) The 85th session of the Arab Labour Organisation (ALO), which began its meetings in Doha yesterday, has elected HE the Minister of Administrative Development, Labour and Social ...

 Oct 28 2016 - Qatar- PM meets ALO officialGulf Times
(MENAFN - Gulf Times) HE the Prime Minister and Minister of Interior Sheikh Abdullah bin Nasser bin Khalifa al-Thani met a senior Arab Labour Organisation (ALO) official who is currently visiting ...

 Oct 28 2016 - Qatar- Host of activities at 'Family Fun Fridays' todayGulf Times
(MENAFN - Gulf Times) The ‘Family Fun Fridays"; series continues today at The Pearl-Qatar. Organised by United Development Company (UDC), master developer of The Pearl-Qatar, today";s ...

 Oct 28 2016 - Bangladesh envoy hosts Asian ambassadors' dinnerGulf Times
(MENAFN - Gulf Times) Bangladesh";s ambassador to Qatar, Ashud Ahmed, and his wife recently hosted an Asian Ambassadors"; Group Dinner in Doha. The event was attended by the ambassadors of different ...

 Oct 28 2016 - Apple Fest begins at LuLu outletsGulf Times
(MENAFN - Gulf Times) The Apple Fest was launched at all LuLu Hypermarket outlets in Qatar yesterday. The week-long festival features more than 20 varieties of apple from Spain, France, Italy, New ...

 Oct 28 2016 - Qatar- 28 trucks seized in crackdownGulf Times
(MENAFN - Gulf Times) In a crackdown on overloaded and uncovered trucks, Al Khor and Al Thakhira Municipality has seized 28 such vehicles from the Umm Al Baraka area, the Ministry of Municipality and ...

 Oct 28 2016 - Qatar National Day Barwa Sports Championship setGulf Times
(MENAFN - Gulf Times) The Barwa Group, in association with the Qatar National Day Celebrations Associated Activities Organising Committee, will hold sports competitions at the Barwa Workers ...





Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  

Middle East North Africa - Financial Network

Main News
News By Industry
News By Country

Search News
Market Indices
Quotes & Charts

Global Indices
Arab Indices


Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks

Saudi Arabia 

Economic Calendar
Financial Glossary

Financial Calculators

RSS Feeds [XML]

Corporate Monitor


Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters

© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help