Dubai’s stock market slipped on Friday, weighed down by investor concerns over the rapidly intensifying U.S.-China trade war and its potential economic impact, although the Abu Dhabi index finished higher.
Beijing on Friday increased its tariffs on U.S. imports to 125%, hitting back against U.S. President Donald Trump’s decision to hike duties on Chinese goods to 145% and raising the stakes in a trade war that threatens to upend global supply chains.
Dubai’s main share index fell 0.2%, hit by a 2.2% drop in blue-chip developer Emaar Properties and a 4.8% slide in Commercial Bank of Dubai.
However, the Dubai index managed to eke out a weekly gain of 0.3%.
Regionally, markets were significantly impacted this week by ongoing trade tensions between the U.S. and its economic partners, said Ahmed Negm, Head of Market Research MENA at XS.com.
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In Abu Dhabi, the index added 0.4%, helped by a 1.7% rise in Alpha Dhabi Holding.
Oil prices – a catalyst for the Gulf’s financial markets – rose, but still headed for a second straight week in the red on concerns about a prolonged trade war between the United States and China.
According to Negm, persistently low oil prices continue to pose a risk to the market and investor sentiment.
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Abu Dhabi rose 0.4% to 9,158
Dubai fell 0.2% to 4,966
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