Dubai stocks fall for sixth consecutive day
Shares tumble due to fears over Dubai World debt restructuring
January 17, 2010 2:51 by kippreport
The Dubai Financial Market General Index fell for the sixth day in a row, the first time since March 2008, due to concerns over whether government-owned conglomerate Dubai World will have trouble restructuring its billion dollar debt, reports Bloomberg.
The agency also cites anticipation of the company’s fourth-quarter earnings as another possible reason for the index’s drop.
The index closed on Sunday at 1,673, down 1.98 percent on the previous trading day.
“The U.A.E. should remain rangebound until fourth-quarter earnings at which point we should begin to differentiate between stocks,” said Ali Khan, head of cash-equity trading at Dubai-based Arqaam Capital Ltd., told Bloomberg. “Possible headline risk from Dubai World restructuring continues to weigh on the market.”