Dubais index gained 8.5 per cent, the highest daily increase since December 2009
Regional stock markets rose sharply on 10 September as tensions over a US airstrike on Syria eased.
Russias proposal to get the Syrian government to hand over its chemical weapons stockpile led to an increase of 8.5 per cent in Dubai, followed by Abu Dhabi (5.5 per cent), Qatar (4.9 per cent), Egypt (3 per cent), and Saudi Arabia and Kuwait (both nearly 3 per cent).
It was the first time in two weeks investors showed confidence again in regional stock markets. At the end of August, investors massively sold their stocks, fearing US military action in Syria would have reprecussions on economies in the wider region. It was also a chance for investors to cash in their stocks gains. In recent months, regional exchanges rose between 15 and 60 per cent year-on-year following signs of an economic rebound in the GCC.
The decreased likelihood of a US airstrike will probably attract investments back to the regions stock markets, according to Dubai-based brokerage Al-Masah Capital. Investors will look seriously at finding bargain stocks that this market sell-off has presented, it said in a report.
The Dubai Financial Market Indexs performance on 10 September closed losses registered over the past two weeks totalling 17 per cent to just 8 per cent.
You might also like...
Ruwais LNG full EPC award expected in June
29 March 2024
PIF entity makes $1bn Lucid placement
29 March 2024
Petro Rabigh awards KBR maintenance contract
29 March 2024
Diriyah Company seeks firms for demolition work
29 March 2024
A MEED Subscription...
Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.