DUBAI Aug 17 Most Middle East bourses look
likely to be quiet on Sunday, with little company-specific news
to trade on and an end-of-week wobble on international markets
offering little incentive for regional investors to bid up
Egypt's benchmark may buck the hesitant trend,
however - Cairo hit a new six-year peak on Thursday and bullish
earnings from investment bank EFG Hermes should
EFG made a net profit of 188 million Egyptian pounds ($26.3
million) in the second quarter of 2014, up from a loss of 80
million pounds in the year-earlier period.
Three Islamist protesters were killed on Friday during
clashes between police and demonstrators in Cairo, security
forces said, but Egypt's stock market has shown little reaction
to periodic bouts of deadly unrest since the army ousted former
president Mohamed Mursi.
Elsewhere, volatility on Dubai's index has declined
markedly - the measure has moved within a 230-point range in
August, compared with a range of 1,204 points in July - and
steadier trading appears likely to continue this week. Dubai
ended Thursday at 4,813 points, up 38 percent in 2014.
"Another day of low-volume sideways session on Thursday
signals a lack of confidence and brings consolidation just over
the support zone of 4,760," Shiv Prakash, a senior technical
analyst at NBAD Research, wrote in a note.
"The intra-day trading range and the volume from open to
close is getting reduced day by day."
Any break below 4,760 could spark further selling towards
the lower support range around 4,700, Prakash wrote. Looking
upwards, the index must break above 4,935 for the trend to turn
bullish, he added.
Abu Dhabi appears slightly more bullish, with banks leading
the emirate's index to a fifth gain in six trading days
on Thursday. That could push traders to switch cash to Abu Dhabi
from Dubai, although some will likely to be tempted to book
profits from First Gulf Bank's record close on
Qatar's market is likely to be disappointed by news that
Mesaieed Petrochemical has not been added to the MSCI
All-Country World Index.
Mesaieed shares surged 5.0 percent on Thursday after MSCI
issued a statement saying the stock had been added to the index.
But on Sunday, Mesaieed issued a bourse statement saying this
was not in fact the case, contrary to what MSCI had originally
Global equity markets seesawed on Friday after Ukraine said
its artillery shelled a Russian armored column on Ukrainian soil
in a report that raised fears of escalating tensions.
(Reporting by Matt Smith; Editing by Andrew Torchia)