Dubai Stocks Still Expensive to ABN After Rout: Chart of the Day
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Investors should sell Dubai stocks after a 25 percent slump left them still looking pricey compared with their developing-nation peers, according to ABN Amro Private Bank.
The CHART OF THE DAY shows that Dubai’s DFM General Index is 37 percent more expensive than the MSCI Emerging Market Index, according to the ratio of price to current annual earnings. Dubai’s benchmark stock index was valued less than the broader gauge from October 2008 to April 2013 as the emirate struggled to recover from a real-estate bust that sent stocks down as much as 77 percent.