Dubai leads Gulf markets higher as ceasefire holds, earnings in focus

Dubai led gains across Gulf stock markets in early trade on Wednesday, as a fragile U.S.-Iran ceasefire held firm despite a fresh flare-up in tensions, allowing investors to turn their attention back to corporate earnings.

U.S. President Donald Trump said he would briefly pause an operation escorting ships through the Strait of Hormuz, a key waterway that carries about a fifth of global oil supplies and has been blockaded by Iran since late February, triggering a global energy crisis.

Dubai’s benchmark stock index rose 1.5%, rebounding from losses in the previous session.

The United Arab Emirates’ defence ministry said on Tuesday its air defences were responding to missile and drone attacks from Iran, although Iran’s joint military command denied its forces had conducted any missile or drone operations against the UAE in recent days.

Among individual stocks, blue-chip developer Emaar roperties gained 1.7%, while Dubai’s largest lender, Emirates NBD , added 1.5%.

The Abu Dhabi benchmark index advanced 0.5%, with most constituents trading higher. Gains were led by utilities, healthcare and technology shares.

Presight AI Holding jumped 5%, while Alpha Dhabi climbed 2.3% after the conglomerate reported an 82% surge in first-quarter net profit.

ADNOC’s four listed units also advanced. ADNOC Logistics rose 2.6%, ADNOC Distribution gained 2%, ADNOC Drilling added 1.5% and ADNOC Gas was up 1.2%.

Abu Dhabi National Oil Company expects to make a final investment decision this year on its unconventional gas project with TotalEnergies (TTEF.PA), with approval for a separate unconventional oil project expected to follow soon, its upstream chief said.

Saudi Arabia’s benchmark stock index rose 0.4%, with most constituents trading in positive territory. Gains were led by information technology, materials and healthcare stocks.

Saudi Arabian Mining Co added 4.5%, while Arabian Mills for Food Products surged 8% after reporting a 32% rise in first-quarter net profit. Retal Urban Development slipped 3.5% after the developer posted a 13% drop in first-quarter net profit.

Meanwhile, Saudi Arabia reported a first-quarter fiscal deficit of 125.7 billion riyals ($33.5 billion) as the kingdom increased spending to support the economy amid disruption caused by the Iran war.

The Qatari benchmark index edged up 0.3%, as most stocks traded higher. Industries Qatar gained 0.7%, while Qatar Fuel Co added 0.6%.