Gulf Arab stocks fall sharply

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.

    'Catastrophe'

    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."

    Ahmad Shahin, an equity strategist at investment bank Shuaa Capital, said: "It's way behind logical.

    "We've reached a stage where we are just sitting down watching and hoping that people realise that our markets are extremely well valued."

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

    SOURCE: Agencies


    YOU MIGHT ALSO LIKE

    How different voting systems work around the world

    How different voting systems work around the world

    Nearly two billion voters in 52 countries around the world will head to the polls this year to elect their leaders.

    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.

    The great plunder: Nepal's stolen treasures

    The great plunder: Nepal's stolen treasures

    How the art world's hunger for ancient artefacts is destroying a centuries-old culture. A journey across the Himalayas.