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78031
Wed, 09/02/2009 - 15:43
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https://www.oananews.org//node/78031
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Heavyweights maintain ADX's upward trend
Abu Dhabi, Sept 2, 2009 (WAM) - The Abu Dhabi Securities Exchange (ADX) advanced for the third consecutive session yesterday with its index adding 15.63 points, or 0.54 per cent, to close at 2912.81 points. Active stocks in the real estate sector, as well as heavyweights in the banking and telecom sectors, supported the ADX index. Buying interest was seen in FGB, etisalat, Sorouh and Rakprop stocks according to a report in "Emirates Business 24|7".
FGB witnessed good buying and closed higher by 0.90 per cent at Dh16.85. Etisalat also advanced slightly and closed at Dh10.85. Aldar faced selling pressure from a high of Dh5.03 but the stock closed higher by 1.86 per cent at Dh4.94.
The energy sector created the highest pressures on the ADX index, with Aabar suffering a major hit after it reported a second-quarter loss of Dh2.18 billion, compared with a net profit of Dh582.1 million during the same period last year.
The stock declined 6.74 per cent to close at Dh2.54. There were high selling pressures on Aabar and 46.6 million of its shares changed hands during the session.
The sell-off came after Aabar said its major loss was from a Dh2.21bn hit from financial instruments linked to the acquisition of its 9.1 per cent stake in German automaker Daimler.
Aabar got permission from the Emirates Securities and Commodities Authority to delay the release of its second-quarter results to the end of August because of the conversion of Falcon's accounting principles to International Financial Reporting Standards.
With global oil prices showing bearishness and heading below the US$70 per barrel-level, analysts said uncertainty remained among long-term investors, while speculators were almost out the of market due to low volatility.
"The trend in global markets will be decisive," said Ahmed Al Rawi, trading manager at Dubai Financial Brokerage. "The ADX is still stable and calm in its movements. Global markets have had some impact, but strong institutional investors are supporting the index."
He said foreign institutional investors were increasing their stake in the ADX. "However, the pace of accumulation is slow due to the low trade volumes in the market. If we compare with the DFM, we will find that the ADX has a wider range of active stocks but the volumes are very low, while the DFM has higher volumes but there is a clear concentration of trading on only a few stocks."
Al Rawi said the ADX might continue around its resistance level of 2900 points for some time before it is able to continue its uptrend.
NBAD to suspend trade
The National Bank of Abu Dhabi (NBAD) has asked the ADX to suspend trading on its convertible bonds from September 8 to 15, prior to payment of interest on September 15. Bondholders registered at the ADX on September 10 will be eligible for the interest distribution. Trading on NBAD convertible bonds will resume on September 16. The notes lost around 17 per cent in value during the past two months and were last traded at Dh75. Credit Suisse, NBAD and Sayga Investment Company are the top bondholders.
FGB witnessed good buying and closed higher by 0.90 per cent at Dh16.85. Etisalat also advanced slightly and closed at Dh10.85. Aldar faced selling pressure from a high of Dh5.03 but the stock closed higher by 1.86 per cent at Dh4.94.
The energy sector created the highest pressures on the ADX index, with Aabar suffering a major hit after it reported a second-quarter loss of Dh2.18 billion, compared with a net profit of Dh582.1 million during the same period last year.
The stock declined 6.74 per cent to close at Dh2.54. There were high selling pressures on Aabar and 46.6 million of its shares changed hands during the session.
The sell-off came after Aabar said its major loss was from a Dh2.21bn hit from financial instruments linked to the acquisition of its 9.1 per cent stake in German automaker Daimler.
Aabar got permission from the Emirates Securities and Commodities Authority to delay the release of its second-quarter results to the end of August because of the conversion of Falcon's accounting principles to International Financial Reporting Standards.
With global oil prices showing bearishness and heading below the US$70 per barrel-level, analysts said uncertainty remained among long-term investors, while speculators were almost out the of market due to low volatility.
"The trend in global markets will be decisive," said Ahmed Al Rawi, trading manager at Dubai Financial Brokerage. "The ADX is still stable and calm in its movements. Global markets have had some impact, but strong institutional investors are supporting the index."
He said foreign institutional investors were increasing their stake in the ADX. "However, the pace of accumulation is slow due to the low trade volumes in the market. If we compare with the DFM, we will find that the ADX has a wider range of active stocks but the volumes are very low, while the DFM has higher volumes but there is a clear concentration of trading on only a few stocks."
Al Rawi said the ADX might continue around its resistance level of 2900 points for some time before it is able to continue its uptrend.
NBAD to suspend trade
The National Bank of Abu Dhabi (NBAD) has asked the ADX to suspend trading on its convertible bonds from September 8 to 15, prior to payment of interest on September 15. Bondholders registered at the ADX on September 10 will be eligible for the interest distribution. Trading on NBAD convertible bonds will resume on September 16. The notes lost around 17 per cent in value during the past two months and were last traded at Dh75. Credit Suisse, NBAD and Sayga Investment Company are the top bondholders.
