DUBAI Feb 12 Egypt's index marked its biggest
gain in nine days on Tuesday after protests marking the second
anniversary of the overthrow of former president Hosni Mubarak a
day earlier were smaller and less violent than expected.
Most other Gulf markets also rose, but Dubai's main index
continued its retreat from Sunday's three-year high.
Demonstrators demanding the departure of President Mohamed
Mursi clashed with police outside his palace on Monday, but
these appeared more subdued than previous bouts of anti-Mursi
"Retail appetite was the main driver for the market today -
everybody was cautious yesterday and thought there would be
further escalation of violence but it was not as bad as
expected," said Mohamed Radwan, director of international sales
at Pharos Securities.
Investors also placed bets that there may be a cabinet
reshuffle more in favour of the opposition. Egypt will hold
parliamentary elections in April.
"A cabinet reshuffle is possible but very unlikely before
the elections," says a Cairo-based trader on condition of
Cairo's index rose 1.1 percent in its biggest gain
since Feb. 3 and eighth advance in the past 10 sessions.
Palm Hills Development and El Saeed Contracting Co
climbed 2.4 and 3.9 percent respectively. Citadel
Capital added 1 percent.
In Saudi Arabia, the index climbed 0.4 percent to a
near two-week high.
Banks and petrochemical stocks supported gains. Heavyweight
Saudi Basic Industries Corp (SABIC) added 0.5 percent
and lender SABB rose 2.8 percent.
Yanbu Cement surged 4 percent to a five-year high
after the firm's board recommended a 50-percent increase in
capital to 1.57 billion riyals. It will issue one share for
every two shares held, pending approval. It will also add 262.5
million riyals to statutory reserves, according to a bourse
Elsewhere, Dubai's measure fell and Abu Dhabi ended flat as
some investors booked profits on fears that an early-year surge
has left stocks over-priced.
Dubai's index slipped 0.5 percent, its second
decline since Sunday's 38-month high.
"People are starting to worry because there's no solid
catalyst to push equity prices higher," said a Dubai-based
trader who spoke on condition of anonymity. "Valuations are
beginning to get stretched."
Emaar Properties fell 1.2 percent to 4.9 dirhams,
down for a second day since Sunday's four-year peak. Lender
Emirates NBD dropped 2.1 percent.
Abu Dhabi's index ended flat, matching Monday's
35-month high and up 11.1 percent in 2013. Abu Dhabi's
Commercial Bank International, which rarely trades,
surged 14.8 percent.
A tentative recovery in property prices and fewer bank
provisions in the last quarter has helped the UAE market mount
an early-year rally, yet some worries remain.
"The most important thing is sustainability in revenues and
that's not confirmed yet," the trader added.
* The index rose 1.1 percent to 5,756 points.
* The index rose 0.4 percent to 7,057 points.
* The index slipped 0.5 percent to 1,888 points.
* The index ended flat at 2,924 points.
* The index climbed 0.6 percent to 6,357 points.
* The index edged up 0.06 percent to 8,776 points.
The index gained 0.2 percent to 5,869 points.
* The index eased 0.06 percent to 1,085 points.