UAE stock markets are expected to continue their growth during the current week, amid incoming news of The Abraaj Group’s dilemma and positive forecasts for firms first half financial results, analysts told Mubasher.
The Dubai Financial Market (DFM) ended last week at 2,880.42 points, while the Abu Dhabi Securities Exchange (ADX) added 0.95% to end at 4,603.2 points.
Large companies’ financial results, which are expected to be positive, along with stock prices that have reached attractive levels will support this week’s trading activities and liquidity, Al Safwa Mubasher’s CEO Ehab Rashad commented.
Commenting on Drake & Scull International’s (DSI) stock performance, Rashad noted that the stock had lost most of its value after several investors sold their stakes in the company.
Lack of concern
Technical analyst Gamal Ajaj concurred with Rashad as to the positive forecasts for companies’ first-half results, but noted that concerns had retreated after several companies announced their exposure to Abraaj and its ongoing restructure.
One of the negative signs, however, has been DSI’s stock which has recently made up much of the DFM’s trading activities, Ajaj told Mubasher.