A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets declined on Thursday as investors engaged in profit booking after the rally of the past few days. The US Federal Reserve’s decision to keep interest rates unchanged also acted as a dampener on the positive sentiment that had been evident across both markets.
The Abu Dhabi Securities Exchange (ADX) General Index (FADGI) fell 0.287% to close at 10,363.65. Trading remained active, with 22,186 trades involving 253 million shares and a total value of Dh1.30 billion. Total market capitalisation of ADX-listed stocks stood at Dh3.147 trillion.
Among banking heavyweights, Abu Dhabi Islamic Bank stood out with a gain of 1.49%, while Abu Dhabi Commercial Bank fell 1.71% despite reporting what appeared to be strong results. First Abu Dhabi Bank recorded a mild decline of 0.11%.
Property major Aldar gained 0.62% on a day when most blue-chip stocks declined. Holding company 2PointZero saw a sharp fall of nearly 4% to Dh2.22. ADNOC Distribution fell nearly 1%, while ADNOC Gas declined 0.83%. ADNOC Drilling remained flat, whereas ADNOC Logistics and Services fell 1.22%. Sharjah-based energy firm Dana Gas, however, rose 0.64%.
Commenting on the market performance, Milad Azar, Market Analyst at XTB MENA, told Aletihad that UAE equities eased on Thursday as investors locked in profits following the recent rally, with the Federal Reserve’s steady-rate stance tempering risk appetite.
“ADX slipped modestly despite active turnover, as weakness in select banking and energy names outweighed resilience in Aldar and isolated gains elsewhere,” Azar said.
Gains in logistics stocks were also notable, led by Agility Global. “Agility topped the Abu Dhabi market gainers’ list, rising 3% as it continues to execute its growth strategy in aviation services, logistics parks and fuel logistics,” Adam Vettese, Account Manager at eToro, said.
In Dubai, the Dubai Financial Market General Index (DFMGI) declined 0.498% to close at 6,481.58. The session recorded 14,614 trades, with 209 million shares changing hands for a total value of Dh741 million. Market breadth showed 12 gainers, 34 decliners and eight unchanged stocks.
Most heavyweight stocks declined, dragging the index lower. Real estate majors Emaar and Emaar Development fell 0.65% and 1.71%, respectively. Emirates NBD declined 1.71%, while Dubai Islamic Bank slipped 0.5%. Air Arabia fell 2.1%, adding to the broader decline.
Ajman Bank and district cooling company Empower bucked the trend, rising 3.47% and 1.74%, respectively.
Dubai stocks underperformed, weighed down by broad-based declines in heavyweight real estate and banking shares. “Cautious sentiment dominated, reflected in negative market breadth, although selective buying in Ajman Bank and Empower suggests investors remain opportunistic amid consolidation,” Azar said.