Strong US dollar hits region’s bourses

13/06/2016 06:42 AST

Arabian Gulf bourses opened the week lower yesterday, as local investors caught up with the sell-off of global equities on Friday.

Lower commodity prices and concerns over the UK’s Brexit referendum on June 23 spooked global investors on Friday, with the Euro Stoxx 50 index falling to a two-month low. The S&P 500 closed at its lowest level in just over two weeks.

Oil price experienced its sharpest fall in a month on Friday, thanks to the strength of the US dollar, with Brent crude futures closing down 2.71 per cent at US$50.54 per barrel. Shares in Dubai led losses across the Gulf yesterday, closing down 1.04 per cent at 3,336.10, with just four stocks on ending the day in the black.

GFH was one of handful of gainers, ending the day up 0.12 per cent at 87 fils, after the Bahrain-based investment company announced the acquisition of a portfolio of properties in the US Midwest for about $65 million.

The Abu Dhabi Securities Exchange General Index closed 0.30 per cent lower at 4,367.90, on a day where trading volumes of only seven stocks exceeded 1 million.

NBAD and Rakbank acted as the main anchors on the capital’s index, falling by 1.71 per cent and 4.49 per cent respectively. FGB was the pick of just four gainers on the capital’s headline index, ending the day up 0.84 per cent at Dh12.05.

The Kuwait Stock Exchange Index was the only headline index to finish in positive territory across the Gulf, eking out a 0.22 per cent gain.

Saudi Arabia’s Tadawul All Share Index ended 0.55 per cent lower at 6,570.89.

The National