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Dubai leads Gulf stocks slide

Nov 11 2008 12:47

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Kuwait City - Stock markets in the oil-rich Gulf states continued to bleed at the opening on Tuesday, led by the Dubai bourse, as investors remained jittery over the pessimistic global economic outlook.

The Dubai Financial Market dived six percent to below 2 400 points, a four-year low, after shedding more than 9% in the past two days.

The DMF Index was again dragged down by the market leader, property giant Emaar, which dipped 8% to a new record low of 3.81 dirhams.

Emaar, the largest publicly traded real estate firm in the Middle East with projects worth $100bn underway, has so far dropped more than 75% this year.

Also in the UAE, the Abu Dhabi Securities Exchange slumped 3.7% with the leading real estate sector shedding more than 8%.

The Kuwait Stock Exchange, the second biggest Arab bourse, dropped 1.3% with the leading banking sector down 1.7% and investment firms losing 2%.

The market failed to respond to statements by the central bank of Kuwait which said a crisis at the Gulf Bank, troubled by large losses in derivatives deals, was totally under control.

The smaller Muscat Securities Market, the only Gulf bourse to close on Monday slightly up, was 0.9% down.

The Saudi market, the largest in the region, starts trading at 08:00 GMT. It ended on Monday down 1.2%.

- AFP

 
 
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