Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets stayed muted on Tuesday, awaiting further positive signals from earnings announcements and the geopolitical front.
The ADX General Index (FADGI) rose 0.189% to close at 9,941.08. Trading activity remained strong, with 21,330 trades involving 197 million shares valued at Dh905 million. The total market capitalisation of ADX-listed stocks stood at Dh2.91 trillion.
All three leading banking stocks made gains, adding to the upward movement of the main index. Abu Dhabi Islamic Bank rose 0.93%, while First Abu Dhabi Bank gained 0.68%. Abu Dhabi Commercial Bank also added 0.67%.
ADNOC-linked stocks posted a largely positive performance. ADNOC Distribution rose 1.28% after it entered a definitive agreement to acquire Shell Downstream South Africa.
Shell’s downstream business in South Africa includes a network of 580 company- and dealer-owned fuel stations. ADNOC Gas rose 0.29%, while ADNOC Drilling added 0.53%. ADNOC Logistics and Services also advanced 0.68%. Fertiglobe dropped 1.89%, while Borouge gained 0.4%.
Investment holding company 2PointZero stayed flat at Dh2.17. Another holding company, Alpha Dhabi, gained 1.97%.
Realty giant Aldar continued to show weakness, losing 1.57% and weighing on the main index.
In Dubai, the Dubai Financial Market General Index (DFMGI) rose 0.055% to close at 6,093.98. The session recorded 12,624 trades, with 185 million shares changing hands for a total value of Dh488 million. Market breadth was negative, with 16 gainers, 26 decliners and 10 stocks unchanged.
Real estate heavyweights Emaar and Emaar Development traded lower, with the former losing 0.5% and the latter dropping 1.41%. After the gains triggered by the easing of geopolitical tensions, the real estate sector is awaiting further positive signals to regain momentum.
Emirates NBD also lost 0.07%, while Dubai Islamic Bank dropped 0.39%, holding back the advance of the main index.
Telecom company du continued its winning streak with a rise of 2.24%, while food delivery app Talabat slipped 0.79%.
Utility provider DEWA rose 0.72%, while road toll operator Salik fell 0.17%. Supermarket giant Spinneys rose 2.4%.
UAE markets remained range-bound as investors awaited stronger earnings catalysts, although selective buying supported the ADX, Milad Azar, Market Analyst, XTB MENA, said.
“Banking stocks continued to provide stability, while ADNOC Distribution outperformed after its deal to acquire Shell assets in South Africa, reinforcing confidence in its expansion strategy,” Azar said.
The DFM lagged as weakness in real estate heavyweights offset gains in defensive and consumer-focused names, Azar added.
“With geopolitical risks easing, attention is shifting back to second-quarter results, where resilient corporate earnings will be key to sustaining valuations and driving the next phase of market momentum,” Azar said.
