BENGALURU: Stock markets in the United Arab Emirates climbed on Thursday, led by sharp gains in Dubai, as optimism over an interim ceasefire agreement between the United States and Iran boosted risk appetite, although expectations of a more hawkish Federal Reserve capped broader gains across the Gulf.
US President Donald Trump and his Iranian counterpart signed an accord on Wednesday aimed at ending the war, with Trump warning that Washington would resume attacks and target Iranian officials if Tehran failed to honour its commitments.
Gulf markets tend to track shifts in US monetary policy expectations as most regional currencies are pegged to the dollar. Dubai’s main index climbed 2.5 percent to 6,270, its highest level since the US-Israeli war on Iran began in late February. Blue-chip developer Emaar Properties gained 2.4 percent, while Emirates NBD Bank surged 7.2 percent.
Abu Dhabi’s benchmark index advanced 1.2 percent, with real estate and healthcare stocks leading the rally.
Saudi Arabia’s benchmark stock index inched up 0.1 percent, helped by gains in real estate, materials and healthcare stocks. Saudi Arabian Mining Co , also known as Ma’aden, rose 3.1 percent, while Saudi National Bank , the kingdom’s largest lender by assets, added 1.5 percent.
Comments