Gulf market report: 15 April 2007

'What a difference a week makes' is an expression that could aptly apply to the UAE stock markets, which today saw the Dubai Financial Market (DFM) close down 2.24% at 3,785,48.Although the number of shares traded almost hit the 2 million mark - at a value of AED914 million - this was hardly compensation for the number of companies languishing on the losers list.Banks were hit the hardest, with the Dubai Islamic Bank (DIB) being the biggest loser. The stock, which opened at AED7.55, plummeted to AED6.88 before closing at AED7.00. A dismal price for such a distinguished bank, noted Majdadden Issa, a broker for Atlas Financial Services.

"It was disasterous for Dubai Islamic Bank: it went down sharply - that's for sure. It has lost an awful lot for one day. I think the closing price is too low for such a major bank. Once a major bank goes down the rest will follow," Mr Issa said.The domino effect was evident as there were only two gainers at the end of today's session. National Cement Company (NCC) and National Bank of Dubai (NBC) went up 4.90% and 0.46% respectively.Mr Issa said the fall of the Saudi Arabian stock market impacted on the DFM' s lacklustre performance. The Saudi Arabia stock market closed down 5.5% on Saturday.The Abu Dhabi Securities Market (ADSM) did not fare any better. The general index was unable to repeat its high rising position of last week, and today closed down at 3,025.19. The losers outdid the winners 6:4.Bahrain's index edged down, paced by National Bank of Bahrain. The index, which closed higher for the first day in three on Thursday, dropped 0.04% to 2,127.94 points. National Bank fell 0.62% and is the only loser on the index. Bahrain's benchmark was the third-worst performer in the Gulf this year at Thursday's close, having fallen 4%.Oman's index closes higher for a fourth day in five as Oman Telecommunications Co (Omantel) rallies. The index gains 0.48% to 2,124.59 points. Omantel jumps 2.88% and Raysut Cement 1.24%. Investors are betting that the Wave development, Oman's largest real estate project, will boost profits for infrastructure and construction companies, says Shantonu Roy, senior research analyst at Amwal Investment. Source