UAE markets increase: Following a strong rise in oil prices following Russia’s announcement that it would be reducing its oil production next month, stock markets in United Arab Emirates ended the day higher on Friday.
Alexander Novak, the deputy prime minister, announced on Friday that Russia will reduce oil production by 500,000 barrels per day, or around 5% of output, in March as a result of price limitations placed by the West on Russian oil and oil-related products.
Oil prices, a major driver of Gulf financial markets, increased by more than 2%, making up for their decline from the previous session.
By 1120 GMT, Brent crude futures were up $1.80, or 2.13%, to $86.30 per barrel.
Emirates Central Cooling System Corp. had a 1.3% increase, while sharia lender Dubai Islamic Bank saw a 0.5% increase. These gains helped Dubai’s main index increase by 0.2%.
Tecom Group, which manages business parks, saw its shares fall 3.4%, however, when the company reported a 28% increase in full-year net profit at 725.6 million dirhams ($197.56 million), falling short of analysts’ expectations of 839.5 million dirhams.
Dubai’s major index increased this week as a result of general market improvement, but price corrections may occur if investors try to lock in profits, according to Fadi Reyad, chief market analyst at CAPEX.com. stated MENA.
Refinitiv data show a 2.1% weekly rise for the index.
The benchmark index for Abu Dhabi finished 0.2% higher after recovering from early losses to continue advances for a tenth straight day.
Banking sector led gains with Abu Dhabi Islamic Bank up 2.2% and Abu Dhabi Commercial Bank up 0.3%.
First Abu Dhabi Bank, the largest lender in the UAE, fell 0.3% after denying claims of an impending bid for Britain’s Standard Chartered and stating that it was not currently exploring one.