The stock market in Dubai saw a decline, driven by rising concerns over the intensifying trade war between the US and China. The trade dispute has escalated as China increased tariffs on US imports to 125%. This move followed the US decision to hike tariffs on Chinese goods to 145%, adding more pressure to global trade. Investors are worried about how the trade war might disrupt global supply chains and impact the economy.
As a result, Dubai’s main share index fell by 0.2%. Major stocks in Dubai were affected. For example, Emaar Properties, a leading developer, dropped by 2.2%. Similarly, Commercial Bank of Dubai saw a 4.8% decrease. Despite this, Dubai’s market managed to secure a small weekly gain of 0.3%.
Meanwhile, Abu Dhabi’s market showed better performance. The Abu Dhabi index rose by 0.4%, mainly due to a 1.7% increase in Alpha Dhabi Holding’s stock. This positive movement helped boost the overall market, even as oil prices continued to fall. Although oil prices rose, they still faced challenges due to the ongoing trade war concerns.
Market analysts, such as Ahmed Negm from XS.com, explained that the ongoing US-China trade tensions significantly impacted the region’s financial markets. Additionally, while oil prices are crucial for Gulf economies, their recent decline continues to affect investor confidence.
Abu Dhabi’s index finished at 9,158, showing a gain of 0.4%, while Dubai closed at 4,966, marking a drop of 0.2%.
