UAE markets need liquidity to revive – Analysts

By: Mahmoud Gamal

Dubai – Mubasher: The UAE stock markets are in need for higher liquidity to be pumped during this week to break the current key resistance levels amid speculative and mixed performance of the indices, analysts told Mubasher.

The current turnover in the UAE markets is speculative and not targeting medium- and long-term investment goals, capital market analyst Salem Al-Newairy said.

Investors should be careful in the current time because of the profit taking activity which is possible to happen in line with the fluctuation seen at global markets, the analyst added.

Al-Newairy noted that the UAE markets were back to hold in the past week, supported by foreign investors purchasing investment portfolios.

The lack of catalysts and the delay of announcing Q3 financials were the main reasons behind the downward performance in the past week, capital market analysts Wael Mohaisen said.

Traders at the UAE stock markets are worried over external factors led by the expectations of the US Federal Reserve to raise interest rates in November, as this may redirect investments from shares to deposits, the analyst noted.  

Translated by: Ingy ElSafy

 

MUBASHER Contribution Time: 23-Oct-2016 04:39 (GMT)
MUBASHER Last Update Time: 23-Oct-2016 04:39 (GMT)