July 16 (Reuters) - Most Gulf bourses edged lower on Thursday as a fresh round of U.S. strikes on Iranian military sites stoked fears of a full-blown conflict.

The United States attacked Iran's coastal defenses and missile sites on Wednesday after reinstating a naval blockade of Iranian ports, while Tehran warned it could further restrict regional energy exports, declaring that it was in an "existential war" with the U.S.

Hostilities have escalated since Saturday, when Iran announced it had closed the Strait of Hormuz. Ongoing military operations have further prevented vessels from passing through the critical waterway, which, before the war, carried roughly a fifth of the world's oil and gas shipments.

Dubai's main share index .DFMGI dipped 0.3%, led by a 0.5% fall in top lender Emirates NBD ENBD.DU.

In Abu Dhabi, the index .FTFADGI eased 0.1%.

Meanwhile, bunker fuel sales at the UAE's Fujairah port in the first half of 2026 more than halved versus last year, after the U.S.-Iran war hit supplies at the key Middle Eastern ship refuelling hub located near the Strait of Hormuz.

Saudi Arabia's benchmark index .TASI edged 0.1% higher, helped by a 0.6% rise in Al Rajhi Bank 1120.SE.

The U.S. State Department said on Wednesday that it had approved the potential sale of advanced precision kill weapon systems and related equipment to Saudi Arabia for an estimated $1.96 billion.

The Qatar Stock Exchange remained closed following the death of former emir Sheikh Hamad bin Khalifa Al Thani.