Emirati Stocks Blink Green on Cheers from US-Iran Deal
Markets in the United Arab Emirates returned to trading on a positive note as investors cheered the interim agreement between the US and Iran to end their more than three-month-long war.At the close of Tuesday trading, the FTSE ADX General Index was up 1.614%, while the DFM General Index gained 1.695%.Oil prices fell after US President Donald Trump said that a preliminary deal was reached with Iran comprising the extension of the ceasefire for 60 days and reopening of the Strait of Hormuz, with formal signing to take place in Geneva on Friday. Both countries are also expected to discuss matters around Iran's nuclear program during the ceasefire period."The US-Iran MOU is an important de-escalation, but it is not a resolution, and markets should not price it as one," Rystad Energy head of geopolitical analysis Jorge Leon commented. "Flows through the Strait will take time to normalize even if the MOU holds, and the ceasefire remains exposed to Lebanon, to sequencing disputes, and to the gap between what both sides think they signed. We are not going back to a pre-crisis oil market, but instead we are entering a more uncertain, more volatile one."On the economic front, investors will await the US Fed interest rate verdict on Wednesday to get fresh clues on how the peace deal and the possible resumption of oil flows through the Hormuz waterway will impact future monetary policies.Back home, Dubai Chambers, in cooperation with the London Chamber of Commerce and Industry, organized an open dialogue in London to highlight investment opportunities and support for British investors in Dubai as part of a recently signed free trade deal between the Gulf Cooperation Council and the UK.On the corporate front, Ras Al Khaimah Co. for White Cement & Construction Materials (ADX:RAKWCT) shares ended 2.89% higher despite recording a lower profit and revenue in fiscal 2026.Elsewhere, BHM Capital Financial Services (DFM:BHMCAPITAL) activated its integration with ADX Managed Services to boost operational efficiency and security of digital transaction processing. Shares of the financial services company closed flat.
