By John Everington March 15, 2015

Falling oil prices dragged on Dubai and Abu Dhabi on Sunday, with benchmarks in both exchanges closing at their lowest levels since January 7.

The Dubai Financial Market General Index ended the day down 2.54 per cent at 3,613.55.
Stocks in the capital fared a little better, with the Abu Dhabi Securities Exchange General Index closing 1.31 per cent lower at 4,424.75.

The falls came after Brent crude shed 4.2 per cent to US$54.67 per barrel on Friday, dragging down stocks in the US and Europe.

“Whenever there’s a sell-off on the oil market UAE markets tend to get affected the most,” said Muhammad Shabbir, the head of equity funds and portfolios at Rasmala Investment Bank in Dubai.
“There’s also concern about falling real estate prices in Dubai, and that the strong dollar may affect visitor numbers to the country,” he added.

In Abu Dhabi, Aldar Properties closed down 4.12 per cent at Dh2.33, followed closely by RAK Properties, which shed 3.95 per cent, and a 3.75 per cent decline in Eshraq Properties.