UAE based markets tumbled for a fourth week in a row, with the SC UAE index shedding 0.86 percent to end the week at 1,067.21 points. Trading value edged up by around 4.8 percent to 93 million dirhams, with Etisalat having the biggest share of trading activity at 21 million dirhams followed by National Bank of Dubai at 13 million dirhams. Half-year corporate results have shown that growth in profitability is within expectations. However, publishing the third quarter results may relax the markets and regain some of their recent loses. The market is trading at a trailing price to earning multiple of 14 times, which is still reasonable as compared to other emerging markets or even other Gulf markets. The ADSM had the largest share of trading activity at 58 percent of the total turnover, followed by the DFM at 31.6 percent and the OTC market at 10 percent. Etisalat closed the week at 112 dirhams down from 112.5 dirhams as compared to the previous week, after reaching 114 dirhams during the week. Blue-chip National Bank of Abu Dhabi closed the week virtually unchanged at 80 dirhams from 80.2 dirhams. Emaar Properties was also among the decliners after shedding 15 fils to 23 dirhams.
Kuwaiti shares plunged by around 3.8 percent as measured by the SC Kuwait Cap weighted index, while the stock market index lost around 5.8 percent to close below the 2,000 points psychological level. The market is still up on a year-to-date performance by around 8.8 percent. The market has been slipping since the recent Iraqi conflict emerged, as investors' fears intensified over a possible war in Iraq. Trading value edged up by around 19 percent to 54.7 million dinars. The market is trading now at 14.41 PE multiple, while its price to book multiple stands at 1.87 times and an attractive yield of 5.0%.
Saudi shares maintained their down trend, after shedding 0.3 percent, as the SC KSA Index closed the week at 1,221.92 points in the week that ended on Thursday. Third-quarter corporate results will be published soon, allowing investors to focus on something other than regional worries. Trading value rose to 3.4 billion riyals, compared with 3.1 billion riyals recorded in a week earlier. Among the week's decliners was SABIC, the industrial giant, lost 1.75 riyals to 157.25 riyals. Riyadh Bank was among the major gainers adding 4.5 riyals to 310 riyals.
It has been a hard week for Bahraini shares after shedding 0.9 percent in the week that ended on Thursday. On the other hand, trading value inched-up to 1.96 million dinars from 763 thousand dinars the previous week. Batelco, the country's sole telecom-services provider, was among the blue-chips decliners as it closed at 570 fils from 573 fils in a week earlier.
