Dubai's index dropped to the lowest in five months yesterday as global turmoil sparked selling off of shares in local companies.
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Emaar Properties, the region's biggest developer, was down 2.8 per cent to Dh2.75 a share. Arabtec Holding, Dubai's biggest contractor, was down 2.9 per cent to Dh1.30.
Tamweel, an Islamic mortgage company, was down 3.3 per cent to 78 fils. The Dubai Financial Market General Index was down 1.9 per cent to 1,444.29 points, the lowest since March 9.
"What is driving the market is pure fear rather than fundamentals. People are afraid of a double-dip recession which may be triggered by this debt crisis, they are waiting for actions by governments to support the market," said Marwan Shurrab, the chief trader at Gulfmena Investments in Dubai. "I don't think investors know what they are looking for, every time they ask for something and it happens, they are more afraid and it triggers a sell-off."
In the capital, Dana Gas, a gas explorer and producer, was down 5.1 per cent to 55 fils. Aldar Properties, Abu Dhabi's biggest developer, was down 3.3 per cent to Dh1.17. The Abu Dhabi Securities Exchange General Index was down 1.3 per cent to 2,577.76 points
Elsewhere in the region: Kuwait's measure dropped 1.2 per cent to 5,882.20; Bahrain's index lost 0.7 per cent to 1,265.38; Oman's index dropped 1.7 per cent 5,505.21; and Qatar's index was down 1.7 per cent to 8,070.69 points. The Saudi Tadawul All-Share Index was down 1.1 per cent to 5,985.73.