A. SREENIVASA REDDY (ABU DHABI)
The UAE stock markets traded in positive territory on Thursday, signalling a decisive end to the short spell of bear run that weighed on the stock indices. The US Federal Reserve’s decision to cut interest rates by 25 basis points had a positive impact on markets across the world.
The Abu Dhabi Securities Exchange (ADX) General Index (FADGI) rose 0.252% to 10,006, breaching the 10,000 threshold under which it had fallen during the recent bear phase.
Trading remained active, with 18,165 trades involving 248 million shares and a total value of Dh875 million. Total market capitalisation on ADX reached Dh3.153 trillion.
Dana Gas was up 2.66% after it announced a new gas discovery in Egypt. Abu Dhabi Islamic Bank (ADIB) gained 1.27%, while ADNOC Distribution rose 0.5%.
2PointZero, the rebranded and expanded version of Multiply, continued to be the most traded stock both in terms of value and volume. Its price was down 0.71% at Dh2.78. Aldar slipped slightly by 0.22% to Dh9.1.
In Dubai, the Dubai Financial Market (DFM) General Index (DFMGI) gained 0.388% to close at 6,100.06. The session recorded 12,322 trades, with 220 million shares traded at a total value of Dh660 million. Market breadth showed 22 gainers, 18 decliners, and 10 unchanged stocks.
Banking major Emirates NBD led the rally with a 2.58% rise, followed by Salik (+2.47%), Spinneys (+2.47%), Deyaar (+1.92%), Emaar Development (+0.65%), and Emaar (+0.35%). Talabat was the prominent loser, declining 1.94%.
Analysing the day’s market performance, Milad Azar, market analyst at XTB MENA, said the UAE market remains backed by solid fundamentals and a strong growth rate, which could be further bolstered by the interest rate cut.