Shares in the UAE extended gains on Thursday, riding on the coat-tails of a fresh rise in oil prices.
Brent crude futures, which rose by more than 7 per cent on Wednesday, again increased, trading about US$35 per barrel, after Iran said it supported a decision by Saudi Arabia and Russia to freeze oil production at January levels.
The Dubai Financial Market General Index ended the day up 1.17 per cent at 3,092.89, on the exchange’s busiest day of the month so far.
“In addition to the oil rebound we’ve seen company results that have been far more resilient than expected,” said Sebastien Henin, head of asset management at The National Investor in Abu Dhabi. “Q4 and annual earnings have been pretty good in light of the current environment, and we’ve seen a continued commitment to paying high dividends, which has triggered a lot of interest from local investors.”
Dubai Investments and Dubai Islamic Bank were among the best performing big names, rising 4.02 and 1.69 per cent respectively.
Shares in the index bellwether Emaar Properties ended the day up 1.61 per cent at Dh5.69, its highest level of the year to date.
Abu Dhabi’s headline index meanwhile rose to its highest level in six weeks, ending the day up 1.55 per cent at 4,212.88.
Union National Bank and Aldar Properties led the big-name gainers, rising 4.82 and 4.18 per cent respectively.