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Emirati Stocks Diverge Amid New US-Iran Strikes; OPEC+ Keeps October Oil Output Unchanged

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Shares trading in the United Arab Emirates ended on both sides of the spectrum as oil prices rose amid another exchange of US-Iran attacks in and around the Strait of Hormuz.

At the close of Monday trading, the FTSE ADX General Index lost 0.016%, while the DFM General Index added 0.793%.

The US Central Command struck three Iranian oil tankers off Kharg Island, Jask, and in the Gulf of Oman in response to ballistic missile attacks by Iran's Islamic Revolutionary Guard Corps on two US Navy warships.

Meanwhile, Iranian Parliament Speaker Mohammad Bagher Ghalibaf threatened to strike US energy facilities in the region if it launches any attacks on Iranian assets.

"Oil prices are modestly stronger this morning amid the latest escalation in the Persian Gulf. However, European gas prices are seeing more strength given the latest attacks," ING said. "Iran says it has also taken action against tankers navigating unauthorised routes, and now plans to enforce a new restricted zone outside the Strait of Hormuz - a move that could put additional vessels in the Gulf of Oman at risk."

In other news, seven OPEC+ countries, including Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman, agreed to keep oil output unchanged for October at their virtual meeting on Sunday.

Closer to home, the UAE Central Bank took part in the sixth preparatory committee meeting of Gulf Cooperation Council central bank governors to discuss challenges in recent monetary and financial developments, review current and future initiatives planned for central banks, and boost cooperation in the banking sector.

Over to corporates, Aldar Properties (ADX:ALDAR) gained 1.68% as it launched the Sei Saadiyat residential development comprising 778 homes across six residential buildings in the Saadiyat Cultural District in Abu Dhabi.

Elsewhere, Salik (DFM:SALIK) renewed its operations and maintenance deal with Transcore for five years to ensure support for its existing services and future initiatives and activities. Shares of the Dubai-listed tollgate operator closed flat.

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