Middle East stock markets crash! War spills over into financial markets

The effects of the war between Israel and Iran have begun to be felt in currency markets as well. Losses are being experienced not only in the dollar, euro, gold, and oil axes but also in other instruments.

The mutual war between the two countries, the complete disruption of regional dynamics, and factors such as the possibility of Iran closing the Strait of Hormuz, which it controls regarding oil shipments, have severely wounded the markets.

Today, Middle Eastern stock markets, returning from the weekend holiday, experienced a decline.

The Israeli TA 125 index lost more than 1 percent of its value. The Tadawul index fell by 3 percent, the Egyptian stock exchange by 6 percent, the Kuwaiti stock exchange by 3.5 percent, and the Qatari stock exchange by nearly 4 percent.

SHEKEL FELL, OIL SURGED

The latest wave of selling occurred as Israel and Iran continued to attack each other's territory for the third day. On Friday, when the clashes broke out, the shekel experienced its largest drop in 11 months, while oil prices rose by 7 percent. The worsening conflict also created shock waves in financial markets, fueling a rush to traditional safe havens such as gold and the dollar.

News Source: 12punto