[2008-03-06]  UAE shares fall on US economic uncertainty
UAE shares dropped yesterday as economic uncertainty in the US has made investors assume a “wait-and-see” attitude towards the markets. The Dubai bourse fell one per cent to close at 5,804.77 while Abu Dhabi’s main index dropped 0.02 per cent at 4,821.55 points.

“The uncertainty in the US is keeping investors on the side lines,” said Sherif Abdel Khalek, head broker at Al Futtaim HC Securities. He also said in a Bloomberg report: “We are witnessing very low volumes and frankly lack of interest in selling or buying.”

Investors traded 130.4 million shares on the Dubai Financial Market (DFM) General Index, a far cry from the daily average of 685 million in the past six months. The index posted shares value of Dh714.7 million.

Emaar Properties, the largest publicly traded real-estate developer in the Middle East and Africa, declined 1.2 per cent to Dh11.95 from Dh12.10 after it said that the completion of Burj Dubai would be delayed.

Towering 604.9 metres, the Dh3.3 billion ($900 million) Burj Dubai is the world’s tallest skyscraper and the centrepiece project in Emaar’s community development in downtown Dubai worth Dh73.5 billion ($20 billion). The tower was due for completion by end-2008.

International ports operator DP World dropped 2.4 per cent to $0.83 on the Dubai International Financial Exchange. DP World listed 3.818 billion shares, or 23 per cent of the company, at $1.30 each on October 26.

Emirates Telecommunications Corp, or Etisalat, dropped 1.4 per cent to Dh24.90 on the Abu Dhabi Securities Market (ADSM) Index while Emirates Driving Co was the biggest loser with a fall of 7.8 per cent to Dh5.07.

The UAE’s biggest phone-service provider, Etisalat has established a software unit -Technologia -in India. The venture will also provide mobile-phone applications and will initially have 50 engineers.

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