Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets remained subdued and posted declines following the previous day’s rally, amid renewed tensions over alleged violations of the ceasefire.
The ADX General Index (FADGI) declined 0.333% to close at 9,836.37. Trading activity remained robust, with 30,047 trades involving 316 million shares valued at Dh1.158 billion. The total market capitalisation of ADX-listed stocks stood at Dh2.825 trillion.
Banking stocks posted declines, with Abu Dhabi Commercial Bank falling by 1.49%. First Abu Dhabi Bank lost 1.2%, while Abu Dhabi Islamic Bank slipped marginally by 0.08%.
Real estate major Aldar fell 3.24% after posting a 10% gain in the previous session. Holding company 2PointZero declined 2.89% after gaining more than 9% in the previous session, while Alpha Dhabi fell 0.55%.
ADNOC-listed companies also came under pressure amid uncertainty surrounding the situation in the Strait of Hormuz. ADNOC Distribution fell 3.35%, erasing almost all of its gains from the previous session. ADNOC Logistics and Services declined 1.65%, while ADNOC Drilling lost 0.57%. ADNOC Gas slipped 0.31%, while Borouge and Fertiglobe traded flat.
In Dubai, the Dubai Financial Market (DFM) General Index (DFMGI) fell 1.45% following Wednesday’s six-year record intraday rally, closing at 5,693.71.
The session recorded 20,839 trades, with 297 million shares traded for a total value of Dh1.122 billion. Market breadth included 11 gainers, 39 decliners and six unchanged stocks.
Key market movers — Emaar, Emaar Development and Emirates NBD — fell by more than 3%, dragging down the DFM main index.
Utility major DEWA declined 1.4%, while road toll operator Salik fell 1.63%. Sharjah-based carrier Air Arabia continued its positive run, gaining 1.78%, while education provider Taaleem rose by more than 4%.
“Trading activity remained steady, but sentiment turned cautious amid reports of potential truce violations,” said Adam Vettese, Market Analyst at eToro.
The DFM came under stronger selling pressure, while the ADX remained relatively steady with a smaller decline, Vettese said.
Oil prices firmed in response, with Brent crude rising around 3% on fears of a resumption of conflict. “This provided some underlying support to energy sentiment but failed to offset broader risk aversion in equities,” Vettese said.
“While the UAE’s diversified economy continues to offer long-term stability, short-term volatility will persist until geopolitical clarity returns. Investors will watch developments closely over the coming sessions,” he added.
