Gulf Arab stocks continue to fall

Markets down for third day due to uncertainty over global economic situation.

    Real estate stocks have seen the
    biggest fall on the Gulf markets [AFP]

    Saudi Arabia's market dropped by seven per cent while Egypt suffered the largest percentage loss, by more than 16 per cent, to its lowest level in two years.

    In all, the seven Arab stock markets in the Gulf have shed about $150bn in value over the past three days to around $800 billion.

    Reassurances

    A number of finance officials attempted to reassure investors.

    Ahmed Bin Adbul Nabi, the finance minister of Oman, where the market closed 7.29 per cent lower, said that the sultanate had not been affected by the world financial crisis and that the fall was temporary.

    The drop was the largest on the Omani market since January.

    Ahmed Baqir, the Kuwaiti commerce and industry minister, also described the plunge in stocks as temporary.

    But Abdulwahab Abu-Dahesh, a Saudi economist, said: "It is a catastrophe.

    "It is clear that we will remain volatile and unpredictable as long as global markets remain impacted by the financial turmoil."

    Ali al-Nimesh, a Kuwaiti economist, said: "We are a part of this world and are impacted psychologically and practically by what is happening in global markets."

    However, Israel's bourse shot up after the Bank of Israel cut its base rate.

    SOURCE: Al Jazeera and agencies


    YOU MIGHT ALSO LIKE

    Survivor stories from Super Typhoon Haiyan

    Survivor stories from Super Typhoon Haiyan

    The Philippines’ Typhoon Haiyan was the strongest storm ever to make landfall. Five years on, we revisit this story.

    How Moscow lost Riyadh in 1938

    How Moscow lost Riyadh in 1938

    Russian-Saudi relations could be very different today, if Stalin hadn't killed the Soviet ambassador to Saudi Arabia.

    We Are Still Here: A Story from Native Alaska

    We Are Still Here: A Story from Native Alaska

    From Qatar to Alaska, a personal journey exploring what it means to belong when your culture is endangered.