Shares in Abu Dhabi rose to the highest level in almost a month led by First Gulf Bank PJSC, as some investors speculated that bank results will beat estimates. Qatari stocks also advanced.
The ADX General Index (ADSMI) added 1 percent to close at 4,570.22, the highest since Dec. 28. Qatar’s QE Index jumped 1.3 percent, the most in more than two weeks, led by Qatar National Bank. Profit at Dubai Islamic Bank PJSC, the biggest Shariah-compliant lender in the United Arab Emirates, jumped more than 30 percent. The shares gained 0.9 percent.
“Dubai Islamic Bank showed good numbers, beating analyst expectations, which is an indication of what we should expect form the other banks,” Tariq Qaqish, a fund manager at Al Mal Capital PSC, said by telephone from Dubai.
First Gulf Bank was the leading bank for syndicated loans in the U.A.E. in 2014, displacing HSBC Holdings Plc. Local banks are hiring from international lenders to bolster operations as they deploy surplus cash to offer cheap loans to local businesses. This allowed them to claim the top five positions in credit last year for the first time since at least 2002.
First Gulf Bank jumped 3.9 percent, the biggest advance since Jan. 7. The bank announced it closed a $313.7 million syndicated loan for Dalma Energy LLC. National Bank of Abu Dhabi PJSC, the largest lender in the U.A.E. by assets, climbed 2.6 percent. After the market closed Abu Dhabi Commercial Bank PJSC reported profit that beat estimates.
Dubai’s DFM General Index dropped 0.5 percent, as Emaar Malls PJSC slid 3.2 percent, the most this year. In Doha, Qatar National Bank added 3.9 percent.
King’s Death
Elsewhere in the Persian Gulf, bourses in Saudi Arabia, Oman, Kuwait and Bahrain were closed to mark the death of Saudi King Abdullah, while Egypt’s exchange was shut for a national holiday.
Pray for A Pain Free Day!
