Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets extended their losses on Wednesday as geopolitical uncertainty continued to weigh on global markets.
The ADX General Index (FADGI) fell 0.612% to close at 10,070.32. The session recorded 25,863 trades involving 319 million shares worth Dh1.2 billion. The total market capitalisation of ADX-listed companies stood at Dh2.637 trillion.
Banking stocks reversed their recent gains and closed lower. Abu Dhabi Islamic Bank fell 1.67%, while Abu Dhabi Commercial Bank slipped 1.41%. First Abu Dhabi Bank also declined, losing 1.49%.
ADNOC-linked stocks came under pressure from regional and global headwinds. ADNOC Drilling slipped 0.35%, while ADNOC Gas fell 0.6%. ADNOC Logistics and Services dropped 0.83%, while ADNOC Distribution remained unchanged at Dh4.04. Fertiglobe declined 1.56%, while Borouge remained unchanged at Dh2.36.
Telecom operator e& slipped 0.73%, with its share price falling to Dh21.66.
Real estate major Aldar declined 0.49%, even as it announced a partnership with developer Arada to deliver projects with a combined value of Dh15 billion.
Among holding companies, Alpha Dhabi fell 1.41% to Dh7.69, while 2PointZero slipped 1.33% to Dh2.22.
Abu Dhabi National Investment and Development, formerly known as BILDCO, declined 3.01%.
Burjeel Holdings, which rose 2.65%, and Americana Restaurants, which advanced 1.72%, were among the few prominent stocks to post gains. Lulu Retail gained 0.53%, reflecting selective buying interest in consumer-focused stocks.
In Dubai, the Dubai Financial Market General Index (DFMGI) fell 0.458% to close at 5,960.54. The session recorded 16,148 trades, with 698 million shares changing hands for a total value of Dh311 million.
Market breadth was negative, with 13 gainers and 27 decliners, while 11 stocks remained unchanged.
Real estate major Emaar Properties slipped 0.69%, while its subsidiary Emaar Development fell 0.46%.
Banking stocks came under pressure on the DFM, with Emirates NBD dropping 1.82% and Dubai Islamic Bank slipping 0.28%.
Toll-gate operator Salik declined 2%, while parking operator Parkin fell 1.45%.
Utility provider DEWA gained 0.37%, while telecom operator du rose 1.7%. Sharjah-based airline Air Arabia slipped 0.62%, while food delivery platform talabat also traded lower, falling 0.45%.
UAE equities remained under pressure as geopolitical uncertainty and weaker global sentiment prompted investors to reduce their exposure to banks, ADNOC-linked stocks and major real estate companies, Milad Azar, Market Analyst at XTB MENA, said.
“The decline in Abu Dhabi was broad-based, pointing to a generally cautious tone rather than weakness concentrated in a single sector. In Dubai, declines in banking and real estate stocks also weighed on the index, while defensive stocks provided limited support,” Azar added.
However, gains in Burjeel Holdings, Americana Restaurants and Lulu Retail reflected selective buying in consumer and healthcare stocks, he said.
“This suggests that investors are becoming more selective and focusing on companies supported by relatively resilient domestic demand and greater earnings visibility,” Azar added.
In the near term, market direction is likely to remain sensitive to geopolitical developments, movements in oil prices and changes in global interest-rate expectations, he concluded.
