Emirati Equities Rebound as US Postpones Planned Attack on Iran
Stocks in the United Arab Emirates were back in the green on Tuesday as hopes of renewed negotiations between the US and Iran boosted market sentiment, leading to a decline in oil prices.At the close of trading, the FTSE ADX General Index gained 0.913%, while the DFM General Index added 0.933%.US President Donald Trump said that he held off a planned military attack on Iran scheduled for Tuesday at the request of Qatar, Saudi Arabia, and the UAE. Trump also added that "serious negotiations" are taking place and a potential deal acceptable to the US might be reached.According to reports from various media outlets, Iran submitted a new response to the latest US proposal through Pakistan. The proposal entails the withdrawal of US troops from close areas, compensation for war damages, lifting of all sanctions, and release of frozen funds."The oil market continues to trade in wide ranges, and it remains extremely sensitive to Iran-related headlines amid current supply disruptions," ING said. "One might think the oil market would become increasingly numb to these headlines. However, the scale of supply disruptions is significant and growing more concerning each day that oil flows remain halted."Back home, Abu Dhabi Securities Exchange integrated its derivatives offerings and market data onto the Bloomberg Terminal, enabling institutional investors to explore and access opportunities within UAE-listed companies.On the corporate side, Abu Dhabi National Oil Co. For Distribution (ADX:ADNOCDIST), d/b/a Adnoc Distribution, teamed up with Americana Restaurants International (ADX:AMR) to integrate up to 200 quick service restaurants in its network. Shares of Adnoc Distribution closed 0.26% higher, while those of Americana Restaurants surged 6.25%.United Securities downgraded its rating on Dubai Taxi Co (DFM:DTC) to hold from buy and cut its price target to 2.15 Emirati dirhams per share, after its profit and revenue came to be lower than the investment management firm's estimates. The taxi company's stocks closed the session flat.