A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets traded in negative territory on Tuesday as certain developments appeared to prolong regional instability.
The ADX General Index (FADGI) fell 0.303% to close at 9,791.05. Trading activity remained robust, with 32,396 trades involving 394 million shares valued at Dh2.843 billion. The total market capitalisation of ADX-listed stocks stood at Dh2.843 trillion.
Presight was the only notable star performer, rising 6.27% on a day when most share prices declined.
Banking stocks followed the broader market trend, with Abu Dhabi Islamic Bank declining 3.56%. First Abu Dhabi Bank fell 0.91%, while Abu Dhabi Commercial Bank slipped 0.71%.
Among ADNOC stocks, ADNOC Drilling dropped 3.73% after an unprecedented rally in the previous session. ADNOC Gas fell 1.48%, while ADNOC Logistics and Services declined 0.51%. ADNOC Distribution slipped 0.79%. Fertiglobe fell 2.20%, while Borouge declined 0.4%.
Holding company 2PointZero dropped 2.83%, while Alpha Dhabi slipped 0.68%. Real estate major Aldar declined 0.39%. Several companies almost hit the maximum daily loss limit of 5% during the volatile trading session.
In Dubai, the Dubai Financial Market (DFM) General Index (DFMGI) fell 0.879% to close at 5,729.07. The session recorded 19,076 trades, with 261 million shares changing hands for a total value of Dh755 million. Market breadth remained weak, with 12 gainers, 36 decliners, and four stocks unchanged.
Real estate giants Emaar and Emaar Development moved in opposite directions, with Emaar falling 0.33% while Emaar Development rose 0.14%. Emirates NBD gained 0.91%, while Dubai Islamic Bank traded flat at Dh7.2.
Sharjah-based carrier Air Arabia declined 3.57% amid renewed fears of travel disruptions.
Road toll operator Salik fell 0.36%, while utility major DEWA rose 0.37%.
Investors adopted a more risk-averse stance amid concerns over prolonged regional instability, said Adam Vettese, Market Analyst at eToro.
“Oil prices spiked on supply disruption concerns, while transport and aviation shares came under particular pressure,” Vettese said.
The rally in Presight AI highlighted sustained investor interest in artificial intelligence and technology themes even in a risk-off environment, he added.
“Investors will be monitoring any diplomatic developments closely, as this will likely set the direction of the market in the near term,” Vettese said.