The Dubai financial market DFM continued to dwarf global counterparts, as the summer recovery rally showed no let-up on Wednesday, July 16. The market index DFMGI jumped two per cent to hit 4,858.29 points. Chinese growth data, which indicated that the world’s second economy grew by 7.5 per cent in the second quarter, lifted stocks in the Middle East and in Europe.
DFM, the only Middle Eastern and Arab bourse being listed to the public, closed 5.51 per cent higher at AED3.64. Earlier last week, media reports said the DFM has shelved merger plans with the ADX exchange in Abu Dhabi.
Trading volumes declined insignificantly as 1.017 billion shares were traded, valued at AED2.821 billion. Arjuna Mahendran, the CIO wealth management at bank Emirates NBD (up 0.70 per cent at AED8.50) in Dubai said “We expect GCC markets to be range-bound till the end of summer with lower trading volumes. The second quarter earnings season will provide direction, while new equity issuance depth and breadth as the year progresses.”