Fears of Europe's debt crisis dragging on without a
credible solution saw US stocks fall for a seventh straight session on Friday,
leading global equity markets to their worst week in two months.
"Global concerns are coming down on retail investors
... no one wants to take extra risks at this time," said Marwan Shurrab,
vice president and chief trader at Gulfmena Alternative Investments.
The Abu Dhabi index eased 0.09 percent to 2,416 points —
its lowest close since March 2009.
Banks led the decline with Abu Dhabi Commercial Bank dropping
0.7 percent, Abu Dhabi Islamic Bank losing 1.6 percent and National Bank of Abu
Dhabi shedding 1 percent.
In Saudi Arabia, petrochemical stocks dragged the index to
a seven-week low, as slumping crude prices weighed on sentiment in the world's
top oil exporter.
Brent crude also fell on Friday on concerns that demand
for oil will be hurt by Europe's spreading debt crisis that also weakened the
euro against the dollar.
Heavyweight Saudi Basic Industries Corp. (SABIC) lost 0.6
percent and Sahara Petrochemical dropped 3.1 percent. Petrochemical product
prices are closely tied to oil.
The Tadawul All-Share Index (TASI) lost 0.2 percent to 6,048
points — its lowest close since Oct. 5.
In Dubai, the bourse dropped 0.4 percent to 1,343 points —
a new seven-year low. Blue chip firms weighed on the emirate's index, with
Emaar Properties slipping 0.4 percent and telecom operator du losing 1.7
percent.
"Until a major catalyst emerges in the UAE markets,
the condition will be the same. A lack of interest among investors has seen
most stocks fall to almost 2008 lows," said Gulfmena's Shurrab.
Bourses in Kuwait, Oman, Egypt and Bahrain were closed for
holiday.
