Abu Dhabi’s bourse fell 0.4% to 5,016 points yesterday.
Bourses in the UAE and Qatar slipped ahead of an announcement from index compiler MSCI detailing their upgrade to emerging market status.
Bourses in Dubai, Abu Dhabi and Doha edged down slightly on the eve of an announcement from index compiler MSCI detailing which stocks from the UAE and Qatar will become part of its emerging markets index and with what weights.
Dubai’s index slipped 0.2% to 5,319 points as most stocks declined, although Emaar Properties jumped 5.8% after it signed an agreement with Dubai Municipality to work on a new mixed-use beachfront development.
Abu Dhabi’s bourse fell 0.4% to 5,016 points. Etisalat dropped 0.9% after the telecom operator completed its purchase of a 53% stake in Maroc Telecom for €4.14bn ($5.67bn).
Egypt’s benchmark climbed 1.9% to 8,467 points, its highest close since late March.
Talaat Moustafa jumped 5.5% after the property developer posted a 15-percent rise in first-quarter after-tax profit.
Ezz Steel gained 5.8% after the firm said its 2013 profit was 134mn Egyptian pounds ($19mn), up from 8mn pounds in 2012.
The positive sentiment also lifted other stocks and the index broke through resistance at 8,400 points, the level at which earlier rallies in April and earlier this month faltered.
“The technical element played a major role today (Wednesday),” said Chamel Fahmy, vice-president for sales and trading at Egypt’s HC Securities and Investment.
“I think the current upturn in stocks might continue. People have the conviction that as we are approaching the presidential elections, this will give a boost to the stock market. The market might still have 200-300 points’ upside.”
Former army chief Abdel Fattah al-Sisi is expected to win the May 26-27 presidential election and Egyptian investors hope he will bring stability and help revive the economy.
Elsewhere in the Gulf, Saudi Arabia’s index edged up 0.04% to 9,820 points; Kuwait’s measure fell 0.1% to 7,395 points, Bahrain’s index was flat at 1,468 points, while Oman’s benchmark index slipped 0.1% to 6,755 points.