Equity markets across the Gulf opened on a cautious note Thursday, with most major indices edging lower as investors reacted to renewed uncertainty surrounding the Middle East conflict. The nervous tone followed fresh remarks indicating that U.S. military operations against Iran could continue for weeks, leaving traders bracing for prolonged volatility.
Dubai’s benchmark led regional declines, falling 1.4% as heavyweight property developer Emaar Properties slid 1.6%, dragging sentiment lower. Abu Dhabi followed suit, with its main index easing 0.9%, pressured by losses in Abu Dhabi Commercial Bank, which dropped 1.4%.
Authorities in the UAE sought to calm speculation circulating about the residency status of Iranian nationals, reiterating that the Iranian community remains an integral part of the country’s diverse society. The statement appeared aimed at preventing further market unease amid heightened geopolitical rhetoric.
In Qatar, equities also moved lower. The index slipped 1.1%, weighed down by declines in Qatar National Bank and a sharper fall in Qatar Gas Transport, which lost around 3%. Investor caution intensified after reports that an oil tanker leased by QatarEnergy was struck by an Iranian cruise missile in Qatari waters, underscoring growing risks to regional shipping lanes.
Saudi Arabia stood out as the lone bright spot. The kingdom’s benchmark inched up 0.3%, supported by modest gains in Al Rajhi Bank and energy heavyweight Saudi Aramco, offering a degree of stability against the broader regional retreat.
Meanwhile, oil prices surged nearly 7%, reflecting fears that escalating tensions could disrupt supply routes. The spike in crude offered some support to energy-linked stocks, but overall market sentiment remained subdued as traders weighed the prospect of a drawn-out conflict. 📉⚠️🛢️
