Dubai, Saudi bourses pull back after stellar show

Most stock markets in the Middle East rose on Wednesday on the back of generally positive third-quarter earnings, but bourses in Dubai and Saudi Arabia, which had outperformed the region earlier in the week, pulled back on profit-taking.

Abu Dhabi's index rose 1.1 percent, largely on the back of First Gulf Bank, which jumped 3.1 percent. The lender beat analysts' estimates this week with a 20 percent increase in third-quarter net profit.

Shares in National Bank of Abu Dhabi edged up 0.7 percent after it reported a 32 percent rise in third-quarter net profit, slightly ahead of estimates. The lender made 1.37 billion dirhams ($373 million) in the quarter, while analysts polled by Reuters had forecast 1.30 billion dirhams.

Qatar's benchmark added 0.9 percent in a broad rally. Property developer Ezdan Holding, which this week posted a 41 percent jump in nine-month profit, dominated trading and edged up 0.5 percent.

Egypt's bourse also continued to rally and jumped 2.4 percent as most blue chips gained. However, shares in Sidi Kerir Petrochemicals fell 2.3 percent after it reported a 26 percent drop in nine-month net profit.

DUBAI, SAUDI

Dubai's index closed 0.1 percent down after going up as much as 1.4 percent during the session. Lender Emirates NBD, whose shares often move sharply because of limited liquidity, was the main drag, falling 2.0 percent.

Developer Union Properties, which rose earlier in the session, closed 0.6 percent down while Emaar Properties  and Deyaar gave up all gains and were flat.

"It's just profit-taking," said Sanyalak Manibhandu, manager of research at NBAD Securities in Abu Dhabi. "There was a bit of a relief rally earlier in the week and I think people are just booking profits now."

Dubai had outperformed the region, gaining 8.3 percent between Oct. 19, when markets began to recover, and Tuesday's close.

Saudi Arabia's bourse which was the second-best performer in the same period, rising 6.5 percent; it also pulled back on Wednesday and closed 0.8 percent down.

One of the major drags was Saudi Basic Industries (SABIC) , which this week posted a 4.5 percent decrease in third-quarter profit on Sunday, missing analysts' estimates.

The Saudi insurance sector index fell 2.5 percent despite strong results posted by a number of companies. The benchmark had gained 19 percent since the beginning of last week, well ahead of the overall market.

WEDNESDAY'S HIGHLIGHTS

DUBAI
* The index slipped 0.1 percent to 4,622 points.

ABU DHABI
* The index rose 1.1 percent to 4,950 points.

SAUDI ARABIA
* The index edged down 0.8 percent to 10,082 points.

QATAR
* The index rose 0.9 percent to 13,776 points.

EGYPT
* The index gained 2.4 percent to 8,952 points.

KUWAIT
* The index edged up 0.5 percent to 7,372 points.
OMAN
* The index inched down 0.03 percent to 6,979 points.

BAHRAIN
* The index edged up 0.2 percent to 1,439 points.

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