UAE stock markets slip on thin year-end trading despite weekly gains

Stock markets in the United Arab Emirates slipped on Friday but ended the week higher, with a rebound in oil prices providing some support even as trading volumes thinned ahead of the new year.

“Market saw limited movement today. While the rebound in oil prices this week provided temporary support, the bearish 2026 surplus narrative remains a lingering risk that could weigh on investor sentiment in the coming months,” said Joseph Dahrieh, managing principal at Tickmill.

Oil prices, a key catalyst for Gulf equities, were little changed during Friday’s session. Investors weighed potential supply risks tied to rising geopolitical tensions after the United States carried out airstrikes against Islamic State militants in Nigeria and stepped up economic pressure on Venezuelan oil.

In Abu Dhabi, the index closed flat as losses in consumer discretionary and energy stocks offset gains across other sectors. The market rose 0.7 per cent for the week, ending a weekly losing streak.

Conglomerate Alpha Dhabi Holding fell 0.5 per cent and Abu Dhabi Commercial Bank slid 1.5 per cent, whilst Presight AI Holding gained 1.2 per cent. First Abu Dhabi Bank, the UAE’s largest lender, added 0.5 per cent.

Dubai’s benchmark index shed 0.1 per cent, pressured by declines in financial and consumer discretionary shares, even as it logged its fifth consecutive weekly gain. Dubai Islamic Bank eased 0.8 per cent, whilst low-cost carrier Air Arabia fell 1.7 per cent.