Investors strike cautious note

Most Gulf markets closed little changed on the first day of the trading week as the slowdown during Ramadan hit volumes and investors took a cautious view on the pace of the global economic recovery. UAE stock exchanges saw just over 55 million shares traded after a week in which global markets fell on concerns about employment in the US and economic output in Japan. "Buying momentum is still weak, leaving the market susceptible to selling pressure," analysts at Shuaa Securities said in a research note. "In short, we continue to see weak buying conviction, and remind traders of the need to maintain a cautious approach to trading."

Crude oil also hit a six-week low last week of US$73.46 on the New York Mercantile Exchange. The Abu Dhabi Securities Exchange General Index was unchanged at 2505.58. First Gulf Bank, the third-largest lender by market capitalisation, fell 0.7 per cent to Dh13.85 a share, and Abu Dhabi Commercial Bank dipped 0.5 per cent to Dh1.68. Aabar Investments dropped 4.9 per cent to Dh1.53. The Dubai Financial Market (DFM) General Index also remained unchanged at 1491.67. The country's second telecommunications company, du, was the most active stock on the DFM, adding 3.4 per cent to close at Dh2.11 as 8.7 million shares changed hands.

Elsewhere in the region, only Qatar's bourse recorded significant gains, rising 0.9 per cent. Qatar National Bank, the country's biggest lender by assets, rose 1.4 per cent. The Kuwait, Bahrain and Saudi bourses all closed the day unchanged. Oman's MSM30 index dropped 0.3 per cent to 6308.42. halsayegh@thenational.ae