DUBAI May 8 A slight recovery in oil prices and
an overall positive mood in global shares following the outcome
of the French election may help lift major stock markets in the
Gulf on Monday after they fell 1 percent or more in the previous
Brent crude futures were at $49.73 per barrel at
0508 GMT, up 1.3 percent from their last close.
MSCI's broadest index of Asia-Pacific shares outside Japan
added 0.3 percent, snapping a three-day losing
streak, while U.S. stock futures briefly touched a record high,
on investor relief after centrist Emmanuel Macron comfortably
won the French presidential election.
But regional markets have been lagging their emerging market
peers so far this year, and first-quarter results did little to
move funds aggressively into the market, suggesting those
markets may continue to trail.
"As we approach the end of the reporting season, with most
companies having done their AGMs (annual general meetings) and
gone ex-dividend, investors' attention will turn back to impact
from the macro-economics and the prevailing oil dynamics," said
Farid Samji, head of asset management at Dubai based Daman
Samji added that liquidity-sapping rights issues and
corporate actions from smaller sized companies like Arabtec
and Drake & Scull would also grab attention.
"We expect small caps to be in focus too as swing traders
take charge in the runup to the holy month of Ramadan."
Dubai's index, last at 3,384 points, faces
resistance at 3,450, according to technical analysts at NBAD
"Short term trend still remains bearish headed towards the
second support zone at 3,360 points," NBAD Securities said in a
(Reporting by Celine Aswad; Editing by Amrutha Gayathri)