Oil above $40 leads to share rally in the UAE

UAE shares led gains across the Arabian Gulf on Thursday, as oil prices rose close to their highest level this year.

A weakening US dollar, coupled with confirmation of an April meeting of 15 oil producers in Doha, saw Brent crude futures rise as high as US$41.42 a barrel around midday. It was trading around tk a barrel in the late afternoon.

The Abu Dhabi Securities Exchange General Index was the top performer , surging 3 per cent at 4,478.73, with banking stocks rebounding sharply after recent losses.


Index heavyweight FGB led the way, surging 10.8 per cent to Dh12.80, with NBAD and ADCB gaining 9.2 per cent and 7.3 per cent, respectively.

Aldar Properties meanwhile rose 3.8 per cent to Dh2.71, after the developer announced that it was introducing a new formula for dividend calculations, which will see dividends increasing over time.

The Dubai Financial Market General Index ended up 2.5 per cent at 3,384.63, thanks to a 7 per cent gain by Emaar Malls and a 5.3 per cent gain by Emaar Properties.

Shares in DP World, listed on Nasdaq Dubai, enjoyed their best day of the year so far, rising 8.8 per cent to $19.05, after the ports operator announced a 26 per cent gain in annual profits for 2015.

jeverington@thenational.ae

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