UAE Stocks Rise as Oil Prices Climb on US-EU Trade Hopes

UAE stock exchanges rose on Friday, driven by a 3% increase in oil prices amid hopes of a US-EU trade deal and US sanctions on Iranian oil exports. Dubai's main market gained 0.7%, with top performers including Salik Company and Emirates NBD Bank. Abu Dhabi's benchmark index rose 0.2%, with ADCB and Aldar Properties leading gains. State-owned Adnoc Drilling secured a $1.63 billion contract, boosting its 1.2% increase.

UAE stock exchanges experienced a positive day on Friday, with significant gains driven by a 3% increase in oil prices and optimism surrounding a potential US-EU trade deal. Dubai's main market, the Dubai Financial Market (DFM), rose by 0.7%, with Salik Company and Emirates NBD Bank leading the top performers. Meanwhile, Abu Dhabi's benchmark index, the Abu Dhabi Securities Market (ADX), gained 0.2%, with ADCB and Aldar Properties leading the gains. State-owned Adnoc Drilling also contributed to the market's performance, securing a $1.63 billion contract and increasing by 1.2% [2].

The optimism around a US-EU trade deal was bolstered by statements from Spanish Economy Minister Carlos Cuerpo. He expressed confidence that the United States and European Union would negotiate a fair trade deal after meeting with U.S. Treasury Secretary Scott Bessent in Washington [1]. This meeting comes at a critical time, given the trans-Atlantic trade flows worth around 4.4 billion euros ($5.1 billion) daily, which were previously threatened by U.S. tariffs [1].

Additionally, the market was buoyed by the expectation of US sanctions on Iranian oil exports, which could further tighten global oil supplies and support prices. This dynamic highlights the complex interplay between geopolitical events and financial markets.

The $1.63 billion contract secured by Adnoc Drilling is expected to have a significant economic impact, further strengthening the company's oilfield services business. The contract, which spans five years, includes integrated drilling services and advanced engineering support, reflecting the company's commitment to long-term contracting models [2].

Overall, the UAE stock exchanges demonstrated resilience and growth, driven by a combination of positive geopolitical developments and strategic business contracts. As the market continues to navigate these dynamics, investors remain cautiously optimistic about future performance.

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_L1N3QT117:0-spanish-minister-optimistic-on-fair-us-eu-trade-deal-after-meeting-bessent/
[2] https://thefinanceworld.com/adnoc-drilling-secures-1-63-billion-deal-from-group-entity/