UAE Stocks: Key factors to watch

UAE stocks opened lower on Wednesday, trailing weak oil prices. Dubai fell 0.31 percent to 3,059 points, while Abu Dhabi's index lost 0.20 percent to 4,054 points within 30 minutes of opening.

On Tuesday, the UAE said it might ratify its federal debt law by the end of 2016, which would allow the country’s central bank to issue AED 80 billion to AED 100 billion.

Oil came under pressure on Wednesday after agencies released their short and medium-term forecasts on crude prices and supply. Key benchmark Brent crude is trading at $31 a barrel, while WTI is at $28.58.

Asian stocks declined on concerns over the banking system and global economy. Japan’s Nikkei dropped 3.3 percent to 15,555 points. A stronger Yen means trade figures will continue to slump, as the country’s exports become less competitive in the global market.

Abu Dhabi Securities Exchange

RAK Properties jumped 6.12 percent to AED 0.52 after trading began. The developer reported a profit of AED 160 million for fiscal year 2015, marking a 3 percent rise compared to the previous year.

Etisalat Nigeria, which is 40 percent-owned by Etisalat Group, has filed a legal action against rival MTN, challenging MTN’s use of the 800 megahertz (MHZ) spectrum following the acquisition of Visafone in January.

Dubai Financial Market

Most property developers in the emirate opened in the red. Emaar Properties tumbled 2.15 percent to AED 5.46, while Arabtec fell 1.75 percent to AED 1.12.

The drops came after Emirates NBD’s economy tracker showed that private sector growth in Dubai softened in January, hitting a six-year low.

Write to Matthew Watson at matthew.w@argaamplus.com and Nadeshda Zareen at nadeshda.zareen@argaamplus.com