Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets posted strong gains on Monday, with the Dubai market rising more than 1.4% following positive developments on the regional geopolitical front.
The ADX General Index (FADGI) rose 0.264% to close at 9,940.83. The session recorded 22,283 trades involving 205 million shares worth Dh1.08 billion. The total market capitalisation of ADX-listed companies stood at Dh2.899 trillion.
Banking stocks delivered a mixed performance. Abu Dhabi Islamic Bank advanced 3.3%, while Abu Dhabi Commercial Bank slipped 0.27%. First Abu Dhabi Bank also fell 0.31%.
ADNOC-linked stocks recorded mostly modest movements, with ADNOC Drilling rising 1.2%, while ADNOC Gas remained unchanged at Dh3.3.
ADNOC Distribution rose 0.75%, while ADNOC L&S advanced 0.48%. Borouge remained unchanged at Dh2.4, while Fertiglobe fell 2.26%.
Holding company Alpha Dhabi was the top performer on ADX, rising 9.15% after reporting a 48% surge in net profit to Dh9.8 billion.
Another holding company, 2PointZero, remained unchanged at Dh2.
Real estate major Aldar also gained 0.94% amid signs of a thaw in regional tensions.
NMDC and EMSTEEL were among the other strong performers, rising 4.9% and 3.6%, respectively.
In Dubai, the Dubai Financial Market General Index (DFMGI) rose 1.424% to close at 5,878.49. The session recorded 11,756 trades, with 142 million shares changing hands for a total value of Dh483 million.
Market breadth was positive, with 32 gainers, 10 decliners and 10 stocks unchanged.
Real estate majors Emaar Properties and Emaar Development posted steady gains, with the former rising 0.73% and the latter adding 0.36%.
Banking stocks delivered a strong performance, with Emirates NBD gaining 3.31% and Dubai Islamic Bank adding 2.89%. Emirates NBD on Sunday announced a deal to acquire HSBC Egypt’s retail banking operations. Mashreq Bank, which is typically thinly traded, gained momentum and rose 5%.
Etihad Energy, formerly known as Gulf Navigation, gained 1.68%, extending its positive performance following the rebranding.
Road toll operator Salik gained 1.13%, while food delivery company talabat rose 3.81%. Air Arabia advanced 3.27% as the prospect of additional travel restrictions receded.
Improved regional sentiment encouraged investors to rotate back into UAE equities, with financial and property stocks leading the recovery, Milad Azar, Market Analyst at XTB MENA, said.
“Alpha Dhabi’s strong earnings and Emirates NBD’s Egypt acquisition reinforced confidence that solid corporate fundamentals continue to support valuations, while easing geopolitical risks reduced demand for defensive positioning,” Azar said.
Although the ADX’s advance was more measured than Dubai’s rally, broader participation and resilient trading volumes pointed to improving risk appetite, he noted.
“If regional stability persists and second-quarter earnings remain supportive, banking, real estate and infrastructure names could continue to outperform,” Azar said.
