Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
UAE stock markets remained subdued on Tuesday as uncertainty over the geopolitical situation persisted.
The ADX General Index (FADGI) fell 0.268% to close at 10,132.28. The session recorded 21,229 trades involving 341 million shares worth Dh1.14 billion. The total market capitalisation of ADX-listed companies stood at Dh2.653 trillion. E7 Group shares worth Dh31.3 million changed hands in a single bulk transaction.
Banking stocks gained, helping prevent a steeper decline in the main index. Abu Dhabi Commercial Bank rose 2.04%, Abu Dhabi Islamic Bank advanced 1.1% and First Abu Dhabi Bank edged up 0.5%.
ADNOC-linked stocks delivered a relatively resilient performance amid the ongoing geopolitical uncertainty. ADNOC Drilling rose 0.17%, while ADNOC Gas gained 0.6%. ADNOC Logistics and Services slipped 0.14%, while ADNOC Distribution remained unchanged at Dh4.04. Fertiglobe declined 0.78%, while Borouge remained unchanged at Dh2.36.
Telecom operator e& slipped 0.82%, with its share price falling to Dh21.82, even as the company launched an advanced network that lays the groundwork for the introduction of 6G.
Real estate major Aldar slipped 0.12% as it announced Dh5 billion in sales from two key projects on Yas Island and Saadiyat Island.
Among holding companies, Alpha Dhabi fell 0.64% to Dh7.80, while 2PointZero slipped 0.44% to Dh2.25.
Retailer Lulu rose 2.03% to Dh0.95, remaining more than 50% below its initial public offering price.
In Dubai, the Dubai Financial Market General Index (DFMGI) fell 0.17% to close at 5,987.97. The session recorded 15,775 trades, with 460 million shares changing hands for a total value of Dh591 million.
Market breadth was negative, with 15 gainers and 24 decliners, while 13 stocks remained unchanged.
Real estate major Emaar Properties slipped 0.51%, while its subsidiary Emaar Development remained unchanged at Dh13.14.
Banking stocks were mixed on the DFM, with Emirates NBD gaining 1.53%, while Dubai Islamic Bank slipped 0.82%.
Toll-gate operator Salik declined 1.61%, while parking operator Parkin rose 1.48%.
Utility provider DEWA slipped 0.37%. Telecom operator du fell 0.33%, emulating its rival e& on the ADX. Sharjah-based airline Air Arabia slipped 0.82%, while food delivery platform talabat also traded lower, falling 1.33%.
“Tuesday’s session demonstrated the resilience of UAE equities amid continued geopolitical uncertainty, with both benchmarks holding close to flat,” said Sayed A., Chief Business Officer at Graystone Capital.
There was no sign of panic selling, indicating that investors were taking a measured, long-term view, he said.
Banks were the standout performers as investors continued to show confidence in the sector’s strong capital positions, healthy asset quality and consistent earnings, Sayed said. “That support helped cushion the broader market and kept both indices close to their previous levels,” he added.
Liquidity remained healthy, with more than Dh1.7 billion changing hands across the two exchanges through more than 37,000 trades, Sayed noted.
“The Dh31.3 million bulk transaction in E7 Group shares also indicates that institutional investors remain active,” he said.
Energy stocks once again demonstrated their defensive strength, according to Sayed. “ADNOC-linked companies offer stable cash flows and attractive dividends, making them a natural anchor for portfolios during periods of uncertainty.”
There were also several positive performances elsewhere in the market. Lulu rose 2.03%, Parkin gained 1.48% and du added 0.33%, reflecting selective buying in consumer and infrastructure stocks, he said.
Aldar’s Dh5 billion in sales from its Yas Island and Saadiyat Island projects pointed to continued strong demand for Abu Dhabi property from both local and international buyers, Sayed said.
He added that e&’s launch of an advanced network laying the groundwork for 6G reinforced the UAE’s position at the forefront of digital infrastructure.
“The current softness represents a pause rather than a change in direction. With solid corporate earnings, healthy liquidity, a resilient banking sector and continued demand for real estate, UAE markets are well positioned to recover as regional sentiment improves,” Sayed said.
He also offered advice to long-term investors: “Periods such as this often present attractive entry points into quality stocks at reasonable valuations.”
