Dubai Shares Snap Two-Day Drop as Oil Rises; China Growth - Bloomberg

Dubai’s stocks snapped a two-day decline as oil advanced and China’s economic growth beat estimates, buoying demand for riskier assets amid Europe’s efforts to contain a debt crisis.

Emaar Properties PJSC (EMAAR), developer of the world’s tallest skyscraper, advanced 1 percent. Dubai Islamic Bank PJSC (DIB), the United Arab Emirates’ biggest bank complying with Shariah rules, gained the most in almost a week. The DFM General Index (DFMGI) rose 0.4 percent, the most since July 10, to 1,539.24 at 12 p.m. in Dubai. The measure had slumped 2.2 percent in the previous two days. The Bloomberg GCC 200 Index (BGCC200) increased 0.1 percent, while MSCI Emerging Markets Index gained 0.8 percent after a 1.9 percent slump yesterday.

“We followed global markets on the downside the previous two trading days and today we are seeing some relief” in Asian markets, said Humam al-Shamaa, economic adviser at Abu Dhabi- based Al-Fajer Securities LLC. “Volumes are low and the market is being driven by speculators. The markets will continue to be affected by the European debt crisis and U.S. developments.”

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