Dubai Financial Market Performance – April 2012

Dubai Financial Market General Index decreased by 1.1% to 1631 points at the end of April compared to 1648.9 points at the end of March. At the sectoral level, seven out of the nine indices represented on DFM ended the month in the red, with Services sector decreasing the most by 17.3%, followed by the Industrial and Transportation sectors by 10.4%, and 9.3% respectively. Real estate & Construction index rose by 6.1%. The consumer staples sector has not witnessed any changes during this month. 

The market capitalization down at the end of this month by 0.9% amounted AED 192.4 billion compared to AED 194.3 billion. The value of shares traded during this month reached AED 6.7 billion, compared to AED 9.6 billion recorded during March, a decrease of 29.5%. Number of shares traded decreased by 40.2% to reach 4.7 billion shares during this month compared to 7.9 billion shares were traded during the March. Number of transactions executed during April down by 31% to reach 80.6 thousands compared to 116.8 thousand deals carried out during the previous month.

As for sectors’ contribution to trading volumes, the Real estate and construction sector ranked first in terms of the value of traded shares, to reach AED 3.2 billion, or 47.8% of the total value of shares traded in the market. Banking sector ranked second at AED 1.2 billion, or 17.9%, followed by the Financial Services and Investment sector with AED 657.7 million, or 9.8%, and the Services sector with AED 605.3 million, or 9%. The Telecommunication sector with AED 494.4 million, or 7.3%, and the Transportation sector with AED 345.5 million, or 5.1%, Insurance sector with AED 209.2 million, or 3.1%.

The value of shares bought by foreign investors during this month reached AED 3.176 billion comprising 47.1% of the total value of shares traded. The value of shares sold by foreign investors during the same period reached AED 2.921 billion comprising 43.3% of the total value traded. DFM net foreign investment in-flow reached AED 255.2 million. 

The value of stocks bought by institutional investors during this month reached AED 1.329 billion comprising 19.7% of the total value of shares traded. The value of shares sold by institutional investors during the same period reached AED 1.181 billion which constitutes 17.5% of the total value traded. DFM net institutional investment in-flow amounted AED 148.4 million.