Yousef Al Bustanji (Abu Dhabi)
The UAE financial markets have enhanced their attractiveness to local and foreign investors, with the support of the large liquidity that flowed to invest in stocks, amounting to 9.08 billion dirhams during the past week, on the one hand, and with the support of more confidence in the expectations of economic growth during the current year, on the other hand. The markets recorded record increases in general indicators and in the significant gains achieved by the market value of the listed companies, as the value of their gains exceeded 41 billion dirhams, during the week.
The pace of growth in the local stock markets increased during the past week, to record new historical and record levels, following the majority of public shareholding companies disclosed profits that exceed expectations and proposed cash dividends, which increased investors’ appetite to buy more shares.
The general index of the Abu Dhabi Securities Exchange rose 1.74% last week at the level of 9155.3 points, noting that its highest level during the week reached 9,248 points, the highest level in its history, exceeding the record level that the market recorded on December 8, 2021 at the level of 9,077 points. .
The rise came with the support of the liquidity that flowed into the trading, in the capital market, Abu Dhabi, and recorded an important rise during the week, as the total trading value amounted to 7.14 billion dirhams.
The market witnessed, during the five trading sessions, the conclusion of 39,160 transactions, during which 1.138 billion shares were traded.
The outcome of the trading was an increase in closing prices for 29 companies compared to a decrease in the prices of 26 companies, while the prices of 31 companies remained unchanged during the week compared to the closing prices at the end of the previous week.
The outcome of the trading of institutions amounted to regarding 21.4 million dirhams, net purchase, while in terms of quantity, it shows a net sale of regarding 9.3 million shares, and this indicates that institutions are moving more and more towards investing in blue-chip companies and heavy stocks, while individuals tend to buy small stocks.
Abu Dhabi Securities Exchange data shows that the general index and prices received a great support from the flow of foreign liquidity (non-Arabs and Gulf nationals) on the trading sessions during the week, as their total trading amounted to 379 million dirhams, net purchase, and they accounted for 15.8% of the total trading value in the capital market. Abu Dhabi, and the total value of their trading amounted to regarding 2.26 billion dirhams during the five sessions.
As for the Gulf investors, their trading recorded a net selling value of 44.5 million dirhams, as well as the Arab investors who recorded their trading net selling worth 10.9 million dirhams.
The data showed that the main shares in the Abu Dhabi market achieved an important rise, as the shares of «International Holding» closed at the level of 187.9 dirhams, and the First Abu Dhabi Bank at a price of 20.70 dirhams, and “Aldar Properties” at the level of 4.22 dirhams.
Dubai market
In the Dubai Financial Market, the value of trading during the five sessions last week amounted to regarding 1.94 billion dirhams, which indicates a significant increase in the liquidity flowing into the market.
The market value amounted to 419.6 billion dirhams, according to the official closing prices at the end of the trading session at the end of the week on Friday.
Dubai Financial Market data show that foreign investors recorded intense trading activity during the past week, as the value of foreign purchases of shares during the week amounted to regarding 976 million dirhams, constituting approximately 50.41% of the total value of purchases.
The value of foreign stock sales during the same period amounted to regarding 630 million dirhams, constituting 32.57% of the total value of sales. As a result, the net foreign investment amounted to regarding 345 million dirhams, as a proceeds from the sale.
On the other hand, the value of shares purchased by institutional investors during the past week amounted to regarding 1,050 million dirhams, constituting 54.24 percent of the total trading value. In contrast, the value of shares sold by institutional investors during the same period amounted to regarding 760 million dirhams, constituting 39.25% of the total trading value.
As a result, the net institutional investment during the period amounted to regarding 290 million dirhams, as a proceeds from the sale.
The leading shares in the Dubai Financial Market consolidated at high levels, despite the profit-taking operations, as the «Emaar Properties» share closed at the level of 5.10 dirhams, the Dubai Islamic Bank share at the level of 5.91 dirhams, and the Emirates NBD Bank share at the level of 13.80 dirhams.
