Bahrain stock exchange takes a hit
The Bahrain All-Share Index yesterday closed at 1,113.88 points marking a decrease of 2.55 points below its previous closing.
This decrease is due to the fall in the commercial banks and industrial sector shares.
Elsewhere, Saudi Basic Industries Corp (SABIC), the world's largest chemicals producer, rose yesterday despite its quarterly profit trailing estimates, while earnings euphoria on Emaar Properties lifted Dubai's bourse to a new 10-week high.
SABIC's shares, which were seen as oversold, climbed 0.6 per cent to 86.75 riyals, taking their gains to 1.8pc since July 15's 16-month low.
SABIC's second-quarter profit fell 35pc to 5.3 billion riyals ($1.41bn). Analysts polled by Reuters on average forecast SABIC would make a quarterly profit of 6.58bn riyals.
It declared a 2-riyals per share dividend for the first half of 2012, which helped to lure back investors.
In the UAE, foreign institutions bought into Emaar ahead of its earnings. Its shares climbed 0.9pc to its highest finish since April 24.
"Dubai seems to be all about Emaar," said Ibrahim Masood, senior investment officer at Mashreq Bank.
He said upbeat earnings expectations are driving buying in Emaar, which has diversified its revenue into more profitable hospitality and retail sectors following a property price crash in Dubai.
Abu Dhabi's index was lacklustre in comparison, edging 0.04pc higher. About 21.7 million shares trade, which is barely an eighth of Dubai's total.
Kuwait's benchmark fell for a fourth session in five in thin trade as institutions stayed away and retail investors dominated.
The index dropped 0.3pc, taking its losses since early May's 12-month high to 10pc. About 131m shares change hands, which is barely a tenth of the 2012 peak.
In Oman, the index declined for a first day in four, dropping 0.6pc and further losses are likely, according to a note from Global Investment House.
This describes the Oman market as bearish and urges investors to sit out for the time being.
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