Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets stayed muted but resilient on Monday despite the continuing standoff over reopening the Strait of Hormuz.
The ADX General Index (FADGI) rose 0.293% to close at 10,076.60. The session recorded 24,812 trades involving 323 million shares worth Dh1.085 billion. The total market capitalisation of ADX-listed companies stood at Dh2.934 trillion.
AD Ports Group rose nearly 15% after L’IMAD Holding announced its intention to make a voluntary conditional cash offer to acquire the company’s remaining shares, potentially taking it private. The proposed offer of Dh6.25 per share represents a 23% premium to AD Ports’ closing price of Dh5.10 on August 14.
Banking stocks recorded steady gains, with Abu Dhabi Commercial Bank rising 0.77% and Abu Dhabi Islamic Bank adding 0.26%. First Abu Dhabi Bank advanced 0.2%.
ADNOC-linked stocks delivered a mixed performance. ADNOC Logistics and Services rose 2.63%, while ADNOC Gas fell 0.56%. ADNOC Drilling remained unchanged at Dh5.95, while ADNOC Distribution declined 0.25%. Borouge advanced 1.25%, while Fertiglobe lost 0.39%.
Holding company Alpha Dhabi declined 0.65%, while 2PointZero added 1.5% to reach Dh2.02.
Real estate major Aldar remained unchanged at Dh7.60. Government-controlled steelmaker EMSTEEL gained 9.65%, while Modon, another company under the L’IMAD portfolio, rose 7.5%.
Abu Dhabi Ship Building advanced 6%, while Americana Restaurants, which had recorded gains in recent weeks, fell 3.25%.
In Dubai, the Dubai Financial Market General Index (DFMGI) fell 0.501% to close at 5,856.14. The session recorded 15,831 trades, with 208 million shares changing hands for a total value of Dh651 million.
Market breadth was positive, with 20 gainers, 18 decliners and 10 stocks unchanged.
Real estate giants Emaar Properties and Emaar Development declined, with the former falling 0.9% and the latter losing 0.15%.
Banking stocks delivered mixed results. Emirates NBD declined 1.69%, while Dubai Islamic Bank added 0.81%.
Road-toll operator Salik fell 1.69%, while food-delivery company talabat rose 1.7%. Air Arabia declined 1.2%, while telecom operator du lost 3.33%.
The UAE market remained resilient rather than bullish, with investors largely looking beyond the uncertainty surrounding the Strait of Hormuz, Milad Azar, Market Analyst at XTB MENA, said.
“Abu Dhabi’s modest gain was driven mainly by corporate-specific catalysts, particularly the potential privatisation of AD Ports, while strong moves in EMSTEEL, Modon and ADNOC L&S also supported sentiment,” Azar said.
Banking stocks provided additional stability, suggesting that investors were not aggressively reducing their exposure despite geopolitical risks, he added.
Azar said the decline in Dubai reflected more defensive positioning, amid weakness in Emaar Properties, Emirates NBD, Salik and du.
“Overall, the divergence between Abu Dhabi and Dubai highlights a market increasingly driven by stock-specific fundamentals and corporate actions, rather than a broad-based regional risk-on move,” Azar said.
