Gulf stocks down; Dubai’s Damac jumps ahead of MSCI inclusion

Stocks in the Gulf were mainly down on Wednesday, with Dubai and Abu Dhabi declining as large-cap stocks edged lower.

Dubai’s main index finished slightly lower at 3,339 points. Volumes soared to AED 892.4 million.

Damac Properties jumped 3.5 percent to AED 2.99, with a total transaction value of AED 350 million. The stock will be added to MSCI’s United Arab Emirates (UAE) Index from tomorrow, and analysts expect it to witness passive fund inflows of $75-80 million after the inclusion.

In Abu Dhabi, the general index dropped down 1.7 percent to 4,427 points. Telecom giant Etisalat was down 1.7 percent at AED 17.2, while Aldar Properties fell 1.3 percent to AED 2.21. First Abu Dhabi Bank (FAB) lost 3.7 percent to reach AED 10.55.

Energy firm Dana Gas soared 5.3 percent to AED 0.41. Pearl Petroleum, a Dana Gas affiliate, said it has applied to the US District Court in Columbia for “recognition and enforcement” of awards made in litigation in the London Court of International Arbitration (LCIA) against Kurdistan Regional Government (KRG).

“Documents associated with the US court filing also reveal that Pearl is still seeking another $26.5 billion in damages through a final phase of arbitration, which is expected to begin in September,” an article on Pearl Petroleum website said.

Write to Nadeshda Zareen at nadeshda.zareen@argaamplus.com