UAE stock markets closed higher on Friday, following a broader global equity rebound sparked by cooling U.S. labor market data. The softer-than-expected jobs report eased fears of an aggressive Federal Reserve interest rate hike, buoying investor sentiment in Gulf markets where currencies are pegged to the U.S. dollar.
Market Performance Breakdown
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Dubai Financial Market: The main index rose 1.1% on Friday, with strong momentum in the industrial and financial sectors. Key movers included:
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Salik Company: Jumped 2.4%.
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Emaar Properties: Advanced 1.5%.
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Emirates NBD Bank: Advanced 1.5%.
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Abu Dhabi Securities Exchange: The benchmark index climbed 0.9%, marking its second consecutive session of gains. Notable movers included:
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Alpha Dhabi Holding: Rose 4.3%.
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Aldar Properties: Increased 1.2%.
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Key Development: IHC-Adani Aluminium Venture
A significant highlight of the session was the gain in International Holding Company (IHC), the UAE’s largest listed company, which advanced 0.6%. This move follows the official announcement of a major $11.5 billion investment in an integrated aluminium project in Odisha, India. The venture is structured as a partnership with the Adani Group and marks a major strategic expansion for IHC into India’s industrial landscape.
Market Context: While individual stock performance was robust, the broader trend remained tied to global interest rate expectations. With U.S. job growth slowing in June, market participants have adjusted their outlook, now betting that the Federal Reserve may keep rates on hold until at least October.
