Dubai shares may extend their September rally after Dubai World received approval from creditors to change the terms on $24.9 billion of debt, according to Credit Suisse Group AG and Al Fajer Securities LLC.
“I expect another 5 percent increase at the open, but not much more than that because the market has already climbed” in anticipation of a deal, Mohamed Dwaikat, senior broker at Al Fajer Securities in Abu Dhabi, said yesterday. “We’re sensing a lot of optimism among investors we have been in touch with” since the announcement.
The Dubai Financial Market General Index has surged 7.3 percent to 1,592.24 this month, paring the decline for the year to 12 percent. That compares with a 2010 gain of 2.4 percent for the MSCI Emerging Markets Index. U.A.E. markets open today for the first time since the state-owned holding company said Sept. 10 it agreed with about 99 percent of creditors on its debt restructuring.
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