Dubai rises, Abu Dhabi falls amid Middle East tensions

The UAE stock market closed Friday with a'mixed' result, with modest gains in Dubai being offset by losses in Abu Dhabi. Investors largely ignored corporate earnings and instead focused on the threat of renewed Middle East tensions.

Dubai's main stock index rose 0.5%. This was led by an increase of 1.8% in the top lender, Emirates NBD and 1.5% in the utility firm,?Dubai Electricity and Water Authority.

Emaar Properties, the blue-chip developer, fell 0.9% despite reporting a higher second-quarter profits, as earnings decreased compared to the previous quarter.

In Abu Dhabi the index fell 0.3% due to a fall of 0.6% in International Holding. ADNOC Gas, on the other hand gained 1.2% ahead of its earnings report.

Investors remain cautious about efforts to end the U.S. - Iran war and reopen the Strait of Hormuz as regional tensions have increased. According to a military source, a 'Houthi attack' on southern Saudi Arabia on Thursday injured 11 civilians. This prompted Riyadh, the Saudi capital, to warn that coordinated strikes by Yemeni Houthis, and Iraqi militias backed by Iran, were imminent.

An anonymous senior Saudi official said that intelligence shared between Saudi Arabia, the United States and regional partners showed that civilian and economic targets, including energy infrastructure, ports, and airports, could be at risk. (Reporting and editing by Joyjeet Das in Bengaluru, Ateeq?Shariff from Bengaluru)

(source: Reuters)