GCC stock markets plunge

Shaikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, at a ceremony to list Islamic Development Bank’s Dh20 billion sukuk on Nasdaq Dubai on Wednesday. Dr Abdul Aziz bin Mohammed Al Hinai, Vice-president of IDB; Essa Kazim, Governor of DIFC and Chairman of DIFC authority, and other officials were also present. — Wam

The benchmark DFM measure dropped 3.81 per cent, the most since August 27, to 3,935.79 points at the close ahead of news about an expected sluggishness in Chinese industrial output. Led by declines across most blue chip stocks, the measure, which has risen more than two-fold in the past 12 months, fell below the 4,000-level for the first time in four weeks.

The DFMGI was the worst performing index globally among more than 90 tracked by Bloomberg, followed by Abu Dhabi’s index, which slumped 2.8 per cent to close at 4,650.17 points. Qatar’s index lost 1.4 per cent.

On Abu Dhabi bourse, property stocks, banks and financial services firms contributed to the decline. Abu Dhabi Commercial Bank shed 6.5 per cent to close at Dh6.70 a share. Aldar Properties fell 4.8 per cent to Dh2.96as Eshraq Properties went down by 6.7 per cent to Dh2.21.

Emaar Properties declined 3.5 per cent, the biggest slide since January 7, to Dh8.57. Dubai Islamic Bank lost 3.6 per cent to Dh5.70. Deyaar Development was the biggest loser, sliding 9.6 per cent to Dh1.13. Union Properties dropped 5.47 per cent to Dh1.9 while construction giant Arabtec Holding fell 4.9 per cent to Dh4.66 a share. DFM shares dropped 6.67 per cent to Dh2.8 as Shuaa Capital declined by 6.19 per cent to Dh1.06.

Trading volumes recorded 867.5 million shares with a value of Dh1.29 billion across 32 traded stocks of which 25 stocks went down while five rose.

Despite Wednesday’s drop, Dubai’s index still remained as one of the top 10 performers globally having rallied 17 per cent this year. Abu Dhabi’s index has gained 8.4 per cent and Qatar’s 9.3 per cent.

Bahrain’s gauge declined 0.9 per cent and Kuwait’s slipped 0.2 per cent. Oman’s index fell 0.1 per cent as Saudi Arabia’s Tadawul All Share Index dipped 0.2 per cent.

— issacjohn@khaleejtimes.com