Dubai Shares Fall to Week-Low on Global Economic Growth Concern - BusinessWeek

Dubai stocks fell to the lowest in more than a week as a meeting of Group of 20 leaders failed to reassure investors about the strength of the global economic recovery and on concern banking earnings may disappoint.

Dubai’s DFM General Index lost 1.2 percent to 1,515.39, the lowest since June 17. Emaar Properties PJSC, the developer of the world’s tallest skyscraper, led the drop and Commercial Bank of Dubai, which has a 4.4 percent weighting in the emirate’s benchmark index, slid to the lowest in more than a year. Oman’s MSM 30 Index declined 0.5 percent.

“The main focus for markets has been the G-20 meeting, as there is a lot of speculation on the banking sector” globally and locally, said Paul Cooper, managing director at Sarasin- Alpen & Partners Ltd. in Dubai, which oversees more than $500 million in the Middle East. Gulf investors “are waiting for the earnings season to kick off” and find out about the banks’ provisioning, he said. Companies will start announcing second- quarter earnings next month.