June 16 (Reuters) – Major Gulf stock markets were in negative territory on Wednesday morning as real estate stocks weighed on the Dubai index.
Dubai’s main stock index (.DFMGI) fell 0.5%, with leading developer Emaar Properties (EMAR.DU) losing 1% and DAMAC Properties (DAMAC.DU) falling 0.8%.
Last week, United Arab Emirates real estate mogul Hussain Sajwani made an offer to buy out minority shareholders in DAMAC, which he has run for nearly two decades. Read more
The all-cash supply comes amid a multi-year slump in Dubai’s once-hot property market, a decline exacerbated by the economic blow from the COVID-19 pandemic.
Separately, Emirates received an additional $ 1.1 billion in support from the State of Dubai after a collapse in long-haul travel due to the coronavirus pandemic triggered the airline’s first annual loss on top of that. of three decades. Read more
Saudi Arabia’s benchmark index (.TASI) fell 0.1%, led by a 1.8% drop in medical services from Dr Sulaiman Al-Habib (4013.SE).
The kingdom’s inflation rate rose for the second consecutive month in May, soaring to 5.7% from 5.3% in April, again reflecting a tripling of value added tax (VAT) to 15% l last year, according to official data released Tuesday. Read more
The VAT hike, which took effect in July, came as the Saudi government sought to bolster its coffers after being hit by last year’s oil crash and pandemic, as well as voluntary cuts in the oil production to help stabilize world prices.
In Abu Dhabi, the index (.ADI) fell 0.1%, penalized by a 0.2% drop from the country’s largest lender, First Abu Dhabi Bank (FAB.AD).
Abu Dhabi, the second most populous emirate in the United Arab Emirates, has restricted access to shopping malls, restaurants, cafes and other public places from June 15 to those who have been vaccinated against COVID-19 or recently tested negative. Read more
The Qatari index (.QSI) fell 0.2%, with the Qatar National Bank (QNBK.QA) losing 0.9%.
However, Sharia-compliant lender Masraf Al Rayan (MARK.QA) added 0.4%, after Qatar’s Financial Markets Authority approved its merger with Khalij Commercial Bank (KCBK.QA).
Shares of Khalij Commercial Bank, which is not included in the index, rose 1.1%.
Reporting by Ateeq Shariff in Bangalore; Editing by Ana Nicolaci da Costa
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