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UAE Shares Slide Ahead of US Fed Meeting Minutes

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Emirati Equities slipped back into negative territory as markets await the release of the Federal Open Market Committee meeting minutes later in the day.

At the close of Wednesday trading, the FTSE ADX General Index was down 0.521%, while the DFM General Index declined 0.618%.

On the economic calendar today are the closely watched minutes from the FOMC's meeting in April, where the committee voted to keep the interest rates steady in the 3.50% to 3.75% range due to high inflation and energy prices, driven by ongoing developments in the Middle East. The minutes will provide investors with insights into the US Federal Reserve's stance on future monetary policies.

"Another event to watch today is the release of April's FOMC minutes, which will shed more light on the reasoning for the three dissenters who preferred a less dovish message. Any hints that went as far as adding rate hikes to the discussion could underpin the recent hawkish repricing and add support for the dollar," analysts at ING said.

On the geopolitical front, Iran threatened to extend the war beyond the Middle East if the US resumes its attacks. Earlier, US President Donald Trump said that he had been an hour away from relaunching strikes before postponing them at the request of Gulf countries.

Back home and on the corporate side, FAB Securities reiterated Abu Dhabi Ports Co. (ADX:ADPORTS), d/b/a AD Ports Group, buy rating and its price target of 7.35 Emirati dirhams after the port and industrial zones developer's first-quarter attributable net profit exceeded the financial services firm's expectations. Its shares closed 0.45% higher.

Dubai-listed Gulf Navigation (DFM:GULFNAV) returned to profit in the first quarter, while revenue rose year over year. Shares of the maritime and shipping company were 3.26% in the green at the time of closing.

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