Overview:

Emirati stock exchanges advanced Thursday as banking sector results exceeded expectations, offsetting broader Asia-Pacific declines driven by artificial intelligence spending concerns. Oil prices remained elevated near 100 dollars per barrel following reports of shipping disruptions in the Red Sea, while multiple financial institutions across the UAE reported double-digit profit growth for the first half of 2026. The Abu Dhabi Securities Exchange index gained 0.70 percent to 9,840.64 points.

Details:

Abu Dhabi Commercial Bank announced record first-half results with net profits of 6.73 billion dirhams, up 34 percent year-on-year, supported by loan growth of 18 percent to 445 billion dirhams and deposit increases of 14 percent to 527 billion dirhams. Ras Al Khaimah National Bank reported profits of 1.71 billion dirhams, climbing 25 percent, while Ajman Bank achieved net profits of 246 million dirhams. Emirates Islamic Bank reported first-half income growth of 8 percent to 1.7 billion dirhams.

Crude Brent oil prices climbed above 100 dollars per barrel, recording weekly gains of 13 percent, as Houthi attacks on tankers in the Red Sea triggered concerns about disruption of a second major maritime corridor. Shipping data showed only one tanker crossing the Strait of Hormuz on Thursday, marking the lowest level since May 7. The cost of oil transportation for routes avoiding both Hormuz and Bab Al Mandab has reached an estimated 2.5 million dollars plus one additional month at sea.

Non-financial sectors also reported strong performance. Easy Lease posted first-half profits of 44.6 million dirhams, up 37.6 percent, while Union Real Estate recorded net profits of 18.37 million dirhams with 16 percent growth. Dubai Taxi Company reported first-half profits of 61.1 million dirhams despite operational challenges in the second quarter.

Outlook:

Investors are monitoring the trajectory of US Treasury yields, which exceeded 4.7 percent Thursday and are tracking toward 5 percent for ten-year securities, raising questions about equity valuations across global markets. Regional focus remains on the strategic port development partnership between DP World and Fujairah Ports Authority to establish facilities in Al Rughailat and Diba Al Fujairah, representing a 2.5 billion dirham investment targeting operational launch within 24 months.