UAE markets decline after warning on regional air travel

UAE stock markets closed slightly lower on Friday, reversing early gains after an adviser to Iran’s leader warned of potential disruptions to regional air travel and airport services. Iranian adviser Mokhber said if Iran cannot have flights and receive airport services, then no one in the region can either, Nournews reported on Friday. Meanwhile, flights to and from Iran have been suspended at all four Iraqi airports — Baghdad, Najaf, Erbil and Sulaimaniya — that had been handling the routes, according to sources and state media. Abu Dhabi’s benchmark index fell 0. 1%, dragged down by 4. 8% decline in National Bank of Fujairah and a 1% drop in Abu Dhabi National Hotel. Energy shares, however, advanced on expectations of improving Middle East energy supplies. Adnoc Gas gained 0. 3%, while Adnoc Drilling Company rose 0. 4%. Some 60 commercial vessels transited the Strait of Hormuz on Wednesday carrying the highest daily volume of crude oil since early July, despite the ongoing war between the US and Iran, a US official told Reuters, speaking on condition of anonymity. Dubai’s main index edged 0. 05% down, pressured by a 0. 7% fall in toll operator Salik Company and 2. 6% decline in food delivery platform Talabat Holding. Oil prices fell more than 1% on Friday as markets weighed the possibility of a truce between the US and Iran against concerns that increasing attacks against Saudi Arabia by Houthi fighters could disrupt supply from the key Middle Eastern producer. Brent crude was down 1. 5% at $105 a barrel by 1141 GMT.

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