UAE markets advance on Central bankers' comments

UAE stocks rose yesterday, led by banks and real estate, with investors reacting positively to the Central Bank governor's statements on plans to reduce interest rates and on the improving credit situation.
The Abu Dhabi Securities Exchange Index jumped 2.42 per cent to 2,367.91 on improved volumes, which was almost three times the average of the last three weeks, as banks and financial index surged 4.10 per cent.
The Dubai Financial Market General Index advanced 1.17 per cent to close at 1,508.05, paced by real estate and finance and investment stocks.
"Banks reacted positively to comments that liquidity is improving in the system following local and Federal government initiatives," said Matthew Wakeman, managing director of cash and equity linked trading at EFG-Hermes.
In the capital, National Bank of Abu Dhabi soared almost 10 per cent in intraday trading, and finally closed at 5.56 per cent higher to Dh9.12. "Today was the last day to buy NBAD before it goes ex-10 per cent stock and 30 fils cash dividend," Wakeman said.
Arkan Construction, Aldar Properties and Sorouh Real Estate also advanced, gaining 8.86 per cent, 3.24 per cent and 3.32 per cent respectively.
On DFM, Emaar Properties climbed 2.02 per cent to Dh2.02, Arabtec Construction rose 2.55 per cent to Dh1.61.