Stock markets in the United Arab Emirates closed lower on Friday, mirroring losses in global equities. Investor sentiment weakened as uncertainty surrounding U.S. tariff policies led to cautious trading. European stocks dropped 0.7%, marking a weekly decline after ten consecutive weeks of gains, while Japan’s Nikkei fell 2.2% to a six-month low.
On Thursday, U.S. President Donald Trump temporarily suspended the 25% tariffs on most Canadian and Mexican goods until April 2. However, tariffs on steel and aluminum are set to take effect on March 12 as planned. This policy shift added to market uncertainty, influencing investor decisions worldwide.
Dubai and Abu Dhabi Stock Markets Face Pressure
Dubai’s main index recorded a 1% decline, marking its largest intraday drop in three months. Dubai Islamic Bank fell 1.6%, while Tecom Group lost 3%, contributing to the downward trend. Meanwhile, Talabat Holding, which recently acquired Instashop from Delivery Hero SE, saw its shares slip 0.7% despite the acquisition announcement.
On a weekly basis, Dubai’s market declined 1.8%, marking its steepest loss since early October. Abu Dhabi’s index also fell 1.2% for the week, as per LSEG data.
Abu Dhabi’s benchmark index dropped 0.9% to an eight-week low. Key contributors to the decline included Aldar Properties, down 2.6%, and Multiply Group, which fell 3.4%. Leading banks also faced losses, with First Abu Dhabi Bank declining 0.8%, while Abu Dhabi Commercial Bank saw a sharp 7.4% drop.
Oil Prices and Market Outlook
Despite market weakness, oil prices edged higher on Friday. Brent crude rose 1.7% to $70.61 per barrel by 11:35 GMT, providing some support to Gulf economies. However, continued trade tensions and fluctuating oil prices remain concerns for investors.
Among positive market moves, NMDC Energy gained 0.7% after shareholders approved a full-year dividend payout of AED 0.14 per share.
Market Close on Friday
- Abu Dhabi Index: Down 0.9% to 9,448 points
- Dubai Index: Fell 1% to 5,223 points
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