Dubai leads Gulf gains as UAE, Saudi growth data lift sentiment

BENGALURU: Gulf stock markets rose on Thursday, led by Dubai, as strong economic data in the United Arab Emirates and Saudi Arabia outweighed investor concerns over renewed U.S.-Iran clashes.

The latest attacks marked the most substantial exchange of fire between the U.S. and Iran since July, with the war now in its seventh month.

UAE non-oil private-sector activity expanded in August at its fastest pace since December 2024, supported by sharper increases in output and new business, a survey showed.

Dubai’s main index rose 0.5%, with all sectors trading higher. Blue-chip developer Emaar Properties gained 1.1%, while Emirates NBD, Dubai’s largest lender, added 0.5%.

Abu Dhabi’s benchmark index edged up 0.3%, led by gains in real estate and basic-materials stocks. Aldar Properties rose 0.9% and Space 42 advanced 6.7%.

Saudi Arabia’s benchmark index advanced 0.2%, helped by gains in financial, IT and materials stocks. Saudi Arabian Mining rose 1.7%, and Riyad Bank gained 1.1%.

Saudi Arabia’s non-oil private sector expanded at its fastest pace in six months in August, driven by stronger output as market activity recovered, a business survey showed.

National Shipping Company of Saudi Arabia,  known as Bahri, slipped 1.6%. Saudi Arabia said on Wednesday that an Iranian attack on an oil tanker owned by Bahri had killed two Filipino seafarers.

Qatar’s benchmark climbed 0.1%, supported by a 1.2% increase in telecommunication company Ooredoo . Gulf International Services , a Doha-based oilfield-services holding company, rose 3.8%.

Separately, three liquefied natural gas cargoes loaded in Qatar and the UAE have been transferred between ships outside the Strait of Hormuz in recent weeks for delivery to India and Japan, according to ship-tracking firms.

Outside the Gulf, Egypt’s blue-chip index rose 1.1%, with almost all of its constituents posting gains. Commercial International Bank added 1.5% and Talaat Moustafa Group climbed 1.2%.

Meanwhile, Egypt’s economy grew 5.1% in the financial year 2025/26 compared to 4.4% a year earlier, according to a cabinet statement on Thursday.