Stock markets in the United Arab Emirates fell on Friday despite China’s big stimulus steps as weak oil prices and ongoing regional geopolitical tensions continued to weigh on investor sentiment.

Oil prices, which fuel the region’s growth, headed for significant weekly losses on a report that Saudi Arabia was preparing to abandon its unofficial price target of $100 a barrel for crude as it gets ready to increase output.

Brent futures edged up 0.2% to $71.74 a barrel at 1121 GMT but are down 3.7% for the week.

Abu Dhabi’s index fell 0.5%, with its largest lender, First Abu Dhabi Bank losing over 1.1% and Telecoms firm e&, shedding nearly 1%.

The main share index (.DFMGI) retreated 0.1% after three consecutive sessions of gains. Dubai’s largest lender, Emirates NBD Bank, lost nearly 0.7% while tollgate operator Salik Co was down nearly 1%.

Gulf markets end mixed on China stimulus, regional tensions

Investment firm Amanat Holding also fell nearly 0.9% as shares traded ex-dividend.

Despite the downturn in UAE equities, the positive momentum remains healthy, and further gains are possible considering the favourable conditions, George Pavel General Manager at Capex.com Middle East said.

----------------------------------------- ABU DHABI     fell 0.5% to 9,469 points DUBAI         down 0.1% to 4,521 points-----------------------------------------