A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets posted one of their strongest performances in recent months on Tuesday, extending their recovery from losses caused by the regional geopolitical situation.
The ADX General Index (FADGI) rose 1.618% to close at 10,101.64, breaching the important 10,000-point mark. The session recorded 30,692 trades involving 305 million shares worth Dh1.638 billion. The total market capitalisation of ADX-listed companies stood at Dh2.938 trillion.
Banking stocks participated in the rally, with Abu Dhabi Islamic Bank rising 7.21%. Abu Dhabi Commercial Bank gained 4.28%, while First Abu Dhabi Bank added 3.41%.
ADNOC-linked stocks also contributed to the rally, with ADNOC Drilling rising 3.23% and ADNOC Gas gaining 2.12%. ADNOC Distribution added 1.74%, while ADNOC L&S advanced 0.48%. Borouge gained 0.83%, while Fertiglobe fell 1.15%.
Holding company Alpha Dhabi extended its rally from the previous session, rising 1.12%, while 2PointZero added a modest 0.5%.
Real estate major Aldar gained 4.67% amid signs of progress in regional peace efforts. Telecom group e& added 3.45%, reflecting the broad-based nature of the gains.
In Dubai, the Dubai Financial Market General Index (DFMGI) rose 1.83% to close at 5,986.07. The session recorded 19,411 trades, with 234 million shares changing hands for a total value of Dh1.01 billion. Market breadth was positive, with 37 gainers, 10 decliners and five stocks unchanged.
Real estate majors Emaar Properties and Emaar Development led the market rally, with the former rising 6.5% and the latter adding 2.4%.
As on the ADX, banking stocks contributed to the rally, with Emirates NBD rising 2.37%, while Dubai Islamic Bank added 1.6%.
Road-toll operator Salik gained 1.49%, while food-delivery company talabat rose 1.84%. Air Arabia advanced 4.74% as the prospect of further easing of travel restrictions improved. Telecoms operator du added 0.49%
The ADX’s decisive break above the 10,000-point level is a strong technical and psychological signal, supported by broad participation across banking, real estate and ADNOC-linked stocks, Milad Azar, Market Analyst at XTB MENA, said.
“Improving regional sentiment encouraged investors to rotate back into quality names, while higher trading volumes reinforced confidence that institutional buying played a meaningful role in the rally,” Azar said.
Looking ahead, Azar said sustaining gains above 10,000 would be the key test for the ADX.
“If geopolitical conditions continue to stabilise and corporate earnings remain resilient, investor appetite could strengthen further, supporting an extension of the market’s recovery in the coming sessions,” he said.