Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
The UAE stock markets recorded notable gains on the first trading day following the US attacks on Iran’s nuclear facilities. Despite rising geopolitical tensions and the threat of closure of the Strait of Hormuz, investor sentiment appeared largely unaffected.
The Abu Dhabi Securities Exchange (ADX) posted gains after a period of subdued trading. The general index (FADGI) rose by 0.464% to close at 9,557.58. A total of 19,289 trades were executed, involving 240 million shares valued at Dh840 million. The total market capitalisation of companies listed on ADX stood at Dh2.984 trillion.
Abu Dhabi National Energy (TAQA) led the rally, climbing 2.6%, followed by Aldar Properties, which gained nearly 1.9%, and Multiply Group, up 1.4%. Other significant gainers included E7 Warrants (+14.29%), Al Khaleej Investment (+11.90%), and Union Insurance (+8.33%). Among the notable decliners were Gulf Medical Projects (-4.33%), Sharjah Cement (-2.96%), and Pure Health (-2.41%).
On the Dubai Financial Market (DFM), the general index (DFMGI) advanced 1.116% to close at 5,411.3. The day saw 15,087 trades, with 445 million shares changing hands at a total value of Dh787 million. Out of the traded stocks, 31 rose in value, 13 declined, and nine remained unchanged.
Union Properties was the top performer, rising 4.69%, followed by Deyaar (4.17%) and Emaar Properties (2.8%). Other gainers included Ekttitab Holding (+9.58%), National Cements (+11.11%), and Ithmaar Holding (+6.70%). On the downside, Agility fell by 9%, while Dubai National Insurance and Reinsurance (-8.66%), Emirates Investment Bank (-6.67%), and Al Ramz Capital (-4.17%) also recorded losses.
The rally extended into the next trading day, with the DFM continuing its upward momentum, partially reversing recent losses. Analysts attributed the rebound to renewed investor risk appetite.
“This rebound appears to be fuelled by a resurgence in investor risk appetite, as market players grow more confident in the UAE’s robust economic fundamentals,” said Milad Azar, market analyst at XTB MENA.
Samer Mardini, Chief Investment Officer at a family office in Dubai, echoed a similar sentiment: “Today’s gains in the UAE financial markets are a clear vote of confidence in the country’s economic strength and resilience. This war is unlikely to shake investor confidence anytime soon, the UAE’s fundamentals are simply too strong and will not be impacted by regional conflict.”
A particularly strong performance was seen in Dubai’s real estate sector, with companies like Emaar Properties and Union Properties posting healthy gains.
“As optimism returns, attention is shifting back to the country’s strong macroeconomic indicators, which could provide a foundation for a more sustained recovery if current trends persist,” Azar added.
Nonetheless, analysts cautioned that the positive momentum could be short-lived, given the uncertain geopolitical landscape. A major concern remains the potential disruption of global oil trade should Iran act to close the Strait of Hormuz.
Elsewhere in the Gulf, most markets ended higher on Monday. Saudi Arabia’s benchmark index (TASI) rose 1.3%, driven by gains in Al Rajhi Bank (+1.6%) and Saudi National Bank (+1.5%). The Qatari index (QSI) edged up 0.5%, supported by a 0.8% gain in Industries Qatar. Outside the Gulf, Egypt’s EGX30 index climbed 1.2%, with EFG Holding Co surging 7.2%.
