The market is somewhat more positive this week as every investor is anticipating the news that is imminent i.e. the full details of the long awaited Dubai World Debt Restructuring plan. Many speculators are now sitting on the fence and are not making any bold moves or large purchases at this stage of the week.
The general index decreased by just over .40% yesterday as the day began. There was also some momentum early in the day when bellweather Emaar did very well. However this was later revealed to be short lived as selling pressure began to mount and it began to turn negative and at the close of the day it was down to 8%.
Again the anticipation of the Dubai World announcement has meant that more individual and group investors are buying earlier than was expected this month according to Fadi Al Said, head of Mena Equities for ING Investment. He also said the market seemed positive and he observed good investment from all sectors of investors, turnover jumped as high as Dh1 billion during the more boisterous buying sessions.
There was also a large portfolio of foreign investors actively trading yesterday although they seemed to be buying and selling at more or less equal intensity and their overall activity accounted for more than 40% of the day’s total business.
A financial consultant of the National Bank of Abu Dhabi said that the market was still weak and that it was still experiencing low turnover levels with an overall pessimistic and cautious view still being implemented by many investors.Paul Holdsworth, Staff Writer, Gulf Jobs Market News