There were some meaningful losses for benchmark equity indices in the UAE on Wednesday with Abu Dhabi’s FADGI falling by just over 1% whilst the Dubai DFMGI was just over 0.8% lower by the close. The escalation of conflict in the eastern Mediterranean does appear to be taking a toll on sentiment in many markets globally.
- Salik Group +4.4%
- Commercial Bank of Dubai +2.5%
- Dubai Taxi Company -5.2%
Salik Group was the best performer amongst the large cap UAE stocks on Wednesday, adding 4.4% on the day. Some online comments suggesting that the company may move to dynamic rather than fixed pricing on road tolls may have been behind the gains here but the company has dismissed such suggestions. Interest in the stock was however elevated, matching levels last seen when the toll gate revaluation took place in late August.
Commercial Bank of Dubai was in second place although gains were a comparatively measured 2.5%. This is however a thinly traded stock and there’s been no real change here with recent news from the company seeming unlikely to deliver any price impact.
Dubai Taxi Company was the biggest faller of the large caps, down 5.2%. Shares saw a solid performance in the second half of September following news that it had been awarded more taxi plates in the Emirate, reaching an all time high of 2.75Dhs last week. Today’s move extends the run lower that has been building over the last few days.
