Iran war widens split in Gulf stock markets
Dubai and Qatar have fallen as they remain more exposed to the Strait of Hormuz closure, while Saudi Arabia and Oman have performed positively.
The ongoing Iran war is deepening the rift between Gulf stock markets, with Dubai and Qatar struggling due to their heightened exposure to the closure of the Strait of Hormuz, while Saudi Arabia and Oman are showing positive performance. Qatar's predicament predates the conflict, as the aftermath of the 2022 men's soccer World Cup contributed to an 11% decline in listed companies' profits during the first half of the year.
The country's banking sector has also shown minimal growth, contrasting sharply with the double-digit earnings growth observed in Saudi Arabia and the UAE's banks. Oman, on the other hand, has been thriving, thanks to economic reforms introduced by Muscat over the past five years and its status as an oil exporter situated outside the Strait.
Brief written by urgent.news from Semafor's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
