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By WM Intelligence
June 26, 2016 | 15:50 | Dubai
Regional markets, given they were shut for weekly holidays on Friday-Saturday, avoided the knee jerk reaction markets globally had to the UK referendum. With 2 days to absorb the same and understand possible repercussions, reaction was a lot more controlled and sector specific.
The DFM General Index closed the day at 3258, 109 points lower. The low for the day was 3210. The ADX General Index saw a more subdued reaction, closing the day 83 points lower at 4417.
A common loser on both the exchanges was Real Estate – the thematic index lost 5% on the DFM and over 3% on the ADX.
Amongst other markets, the QE Index (Qatar) lost 1.24% to close the day at 9843. A highlight here is the QE All Share Insurance index ending the day positively with a 0.67% gain. The DFM, on its part too saw the gainers of the day belonging to the Insurance sector: Dar Al Takaful (up 15%) and Takaful Emarat (up 6%). The Kuwait benchmark, Market IXP saw a marginal dip of 1.1% to end the day at 5348. A similar muted reaction was seen at the Bahrain Bourse with the index ending the day 8 points (0.7%) lower at 1111. The Tadawul All Shares Index (TASI), which slipped sharply lower (6291) on opening, compared to the previous days close (6551), recovered ground through the day currently trading 1.41% lower.
While the uncertainty associated with this event is significant, it would not be far from the truth to say, GCC markets have benefitted from the weekly holidays in absorbing this event and reacting in a controlled manner unlike the chaotic Friday the world was witness to.