AED Market Update
28 Mar 2026 • 01:14 GMT
The AED remains steady against the US dollar, holding at its 3-month average of 0.2723. Despite recent strength in the USD driven by geopolitical tensions and rising oil prices, the AED’s peg to the dollar keeps it relatively stable in this range.
The dollar's rally has influenced the UAE dirham’s performance, especially against currencies like the euro, where the AED is about 1.4% above its three-month average. The AED also edges higher against the yen, trading near 90-day highs, reflecting the broader dollar strength and risk sentiment shifts.
In contrast, the AED's relation to commodity currencies like the AUD and CAD remains stable, with only slight deviations above their recent averages. Meanwhile, the AED has gained modest ground versus the Indian rupee, up nearly 3.8%, supporting ongoing trade diversification efforts.
Overall, the AED continues to trade within its usual ranges, mainly influenced by the stable peg to the USD and current global risk sentiment. Market participants should watch USD movements closely, especially potential shifts from US policy comments or geopolitical developments that could impact the dollar and, consequently, the dirham.
