[2008-05-27]  Dubai Financial Market General Index retreats Discuss 1.2 per cent
Arabian Gulf shares dropped amid concern more writedowns at financial firms worldwide will curb economic expansion and profit growth.

Emirates NBD PJSC, the biggest bank by assets in the UAE, fell after a report that its interested in buying a stake in Saudi Hollandi Bank. Gulf Petroleum Investment SAKC slipped after the company said it bought an oil rig. Doha Bank Ltd. sank the most in two months on an acquisition in India.

The Dubai Financial Market General Index retreated 1.2 per cent to 5,636.65. Saudi Arabias Tadawul All Share Index slid1.7 per cent, while the Bahrain All Share Index lost 1.1 per cent.

"Gulf markets are driven by retail investors who are watching international markets closely, which is not helping their confidence, Amro Diab, head of Gulf institutional sales at EFG-Hermes Holding SAE, said in a telephone interview.

Emirates NBD falls
Emirates NBD fell 2.5 per cent to 11.7 dirhams. Gulf Petroleum Investment slid 1.2 per cent to 420 fils. The Kuwait-based provider of technical services to the oil and gas industry agreed to buy an offshore oil-drilling rig for $170 million. The company is also planning to buy an onshore oil- drilling rig for $18.5 million.

Doha Bank lost 2.7 per cent to 82.7 riyals, the biggest one- day drop since March 25. The Abu Dhabi Securities Exchange General Index rose 0.2 per cent, gaining for a third day.

Taqa climbs
Abu Dhabi National Energy Co. climbed 1.6 per cent to 3.75 dirhams. The state-controlled Gulf energy company and Iberdrola, Spains second-largest power company, agreed to work together to secure opportunities in the Middle East, North Africa, Europe and North America.

Ras Al-Khaimah Cement Co. jumped 9.8 per cent to 2.91 dirhams, the highest since March 2006. The UAE-based company denied having any information that could affect its share price, according to a statement posted on the Web site of Abu Dhabis bourse. The shares have surged 30 per cent in the past three days.



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