Nomura Investment Banking (Middle East) BSC (c) June 15th, 2009
Tarek Fadlallah, CFAExecutive DirectorNomura Investment BankingP.O. Box 26893Manama, BahrainTel: +973 17530 531Fax: +973 17530 365
Memo June 15th, 2009
The Arabian Markets
The recovery in stock priceshas raised hopes of an endto the credit crisis.
It is possible that the localmarkets have reached theirpost-bubble lows.
The environment remainschallenging and any furtherupside should be capped bya muted recovery in profits.
The ingredients for asustainable rally in regionalequities are missing.
Markets will likely oscillatebetween hope and despairin a process that will runinto next year and play outwithin the parameters of awide trading range.
A revolution in corporatepractices is required tobreak out of this cycle.
Blips and Dips
The Bottom Line