DUBAI — Gulf stock markets declined on Thursday as Yemen’s Houthi rebels threatened further attacks on Saudi Arabia, intensifying concerns about regional security, energy infrastructure and disruptions to shipping. Saudi Arabia’s benchmark stock index fell 0.6%, marking its sixth consecutive weekly decline, while shares of state-owned oil giant Saudi Aramco also dropped 0.6%, according to Reuters.
The latest threats followed an attack that damaged Saudi Aramco’s headquarters in Dhahran. The strike reportedly sparked a fire across several floors of an office building within the complex, raising concerns about the security of Saudi Arabia’s critical energy infrastructure.
The market downturn extended across the Gulf. Qatar’s benchmark index fell 1.2%, reaching its lowest level in more than six years. Dubai’s index declined 0.7%, while Abu Dhabi’s benchmark fell 0.4%. Oil prices also moved lower despite the escalating regional tensions. Brent crude futures dropped $2.28, or 2.2%, to $103.78 a barrel.
Investors remained concerned about maritime security after reports that two ships had sunk near the Strait of Hormuz after being struck by projectiles. The strategic waterway is a vital route for global oil shipments.
The International Monetary Fund has warned that a prolonged conflict and disruptions to energy supplies or shipping could have serious consequences for economies across the Middle East and Central Asia.
The latest market movements highlight the growing economic risks posed by the conflict, particularly for countries dependent on energy exports and regional trade. Further attacks on energy facilities or commercial shipping could deepen market volatility and increase uncertainty across global energy markets.
