Dubai, March 7, 2026, 12:09 GST
- The DFM General Index wrapped up Friday at 5,917.22, a drop of roughly 9% compared with last week’s finish.
- After a two-day halt, trading picked back up midweek. Regulators stepped in as well, aiming to rein in the downside swings.
- Risk appetite faded, with Emaar Properties, Emirates NBD, and Air Arabia at the front of the declines.
Dubai’s main stock gauge tumbled roughly 9% last week, closing out Friday at 5,917.22. Just three days of trading—banks, property players, and transport stocks couldn’t shake the selling pressure. https://www.dfm.ae/the-exchange/market-information/indices/dfmgi dfm.ae
The Dubai Financial Market’s reaction has turned into a live test of how much risk investors are willing to tolerate as tensions escalate across the Middle East. When headlines shift, money moves fast. This Friday, the main index tumbled 3.2% — Emaar Properties dragged lower by 4.8%, Air Arabia slipping 4.9%, according to Reuters. https://www.reuters.com/world/middle-east/uae-stocks-extend-losses-middle-east-conflict-deepens-2026-03-06/ Reuters
This episode throws focus on the mechanics of policy. Once trading was back online, Dubai and Abu Dhabi moved quickly, slapping on a temporary 5% downside limit to curb single-session drops, Reuters said. “While the market may remain sensitive to regional developments, Dubai’s underlying fundamentals are strong and could support a rebound,” according to Milad Azar, analyst at XTB MENA. https://www.reuters.com/world/middle-east/uae-shares-extend-losses-middle-east-conflict-widens-2026-03-05/ Reuters
Trading volume remained high while prices dropped. On Friday, 322.9 million shares changed hands for a total value of 1.16 billion dirhams, according to DFM’s daily bulletin. Foreign investors ended up net sellers, offloading about 152.6 million dirhams. https://service.dfm.ae/Bulletins?L=0 service.dfm.ae
The bulletin put Thursday’s cash turnover at 1.33 billion dirhams. Emirates NBD and Emaar came in as top traded stocks by value. https://service.dfm.ae/Bulletins?L=0 service.dfm.ae
Selling kicked in right from the opening bell on Wednesday. By the close, the index had landed at 6,197.19. Volume for the day: 161.5 million shares traded, totaling 891.3 million dirhams, according to the bulletin. https://service.dfm.ae/Bulletins?L=0 service.dfm.ae
An official trading halt threw off last week’s calendar, but both ADX and DFM were back in action Wednesday, according to the UAE’s markets regulator. The exchanges had been suspended for two days. https://www.reuters.com/world/middle-east/uae-exchanges-resume-trading-wednesday-2026-03-03/ Reuters
Some stocks also saw company-specific action. Shares of Commercial Bank of Dubai went ex-dividend on Friday, the DFM noted—so investors picking up the stock from that session forward won’t get the latest declared dividend. https://www.dfm.ae/the-exchange/news-disclosures/market-announcements/49997caf-de4f-49ff-b0d9-cd2c6ae56e16 dfm.ae
The bigger issue for the coming week remains the same driver behind the recent selloff: whether the conflict escalates, pushing global investors to keep dumping risk assets without hesitation. March has already seen emerging market equity funds—those linked to the UAE included—facing outflows, according to Reuters and LSEG Lipper data. https://www.reuters.com/business/finance/emerging-market-equity-funds-slide-iran-conflict-sparks-selloff-2026-03-06/ Reuters
Positioning looked tight. DFM’s latest regulated short-sell report — covering March 4 to March 6 — showed zero activity. https://feeds.dfm.ae/documents//2026/Mar/6/0e9df286-c1e5-40c2-82fe-97121b063b5d/RSS%20NOT%20E%2006%2003%202026.pdf feeds.dfm.ae
Right now, the tape shows investors pegging Dubai as ground zero for regional risk. The next move—whether it’s higher or lower—looks set to hinge on headlines, not the numbers in the balance sheets.
