DUBAI: Most of the Gulf’s stock markets retreated on Tuesday as investors looked ahead to the first-quarter earnings reporting season, which is now starting, while Egypt rose.
In Egypt, the main index gained 1.1 percent, with momentum building in late trade. Commercial International Bank and Global Telecom Holding added 1.5 percent and 2.0 percent respectively.
Gulf markets fell. In Abu Dhabi, Etisalat , the largest listed stock, was the main drag as the telecommunications giant traded ex-dividend. The stock price shed 3.0 percent and the index fell 1.7 percent.
Abu Dhabi Commercial Bank dropped 2.8 percent to 6.50 dirhams. In a note by Kuwaiti research firm Global, analysts rated the stock a “buy” but cut their price target to 7.90 dirhams from 9.66 dirhams.
“The stock is more favorably positioned compared to its peers in terms of its return on equity,” said the note. Global forecast a 5 percent year-on-year drop in 2016 earnings for the bank, driven mainly by a substantial jump in provisions due to a soft economy and ADCB’s exposure to smaller firms.
But Abu Dhabi National Energy Co. (TAQA) rose 1.9 percent. It is up 15.2 percent over the last two sessions. Last week the company reported a narrower fourth-quarter loss.
Dubai’s index fell 0.3 percent to 3,370 points, but closed well off its session low of 3,346 points after a bounce in the last hour.
Cairo’s stock index up 1.1%
