Saudi stock market falls further as tensions rise Protesters in Oman Investors are concerned that unrest in Oman and Bahrain may spread to Saudi Arabia Continue reading the main story Mid-East Unrest
* Libya revolt Live * Tripoli simmers * No-fly zone - bluff or reality? * Lack of opposition Stock markets across the Middle East have fallen again amid fears that civil unrest is spreading. Saudi Arabia's share market, the region's largest, fell 2.6% on Wednesday, following a 6.8% slide on Tuesday. Qatar's stock index dropped 3.1%, Kuwait fell 2.9%, and Dubai 3.6%, sparking falls in European markets. "The news flow is negative. The uncertainty is there," said an analyst at Dubai-based Al Mal Capital. The cost of insuring Saudi Arabia's sovereign debt against default - an indicator of risk - rose 7 basis points to 1.43%. Saudi's Tadawul share index has fallen 18% since the start of the year, even though the kingdom's main revenue earner - oil - has risen in price. Investors are concerned that heightened tension in the region will fuel another oil price surge and threaten the fragile global economic recovery. 'Ripple effect' "We are seeing a significant elevation in risk premiums, with investors revising their expectations for the region," said Hashem Montasser, managing partner at Frontlane Capital, a Dubai-based asset management firm. He told the Reuters news agency: "Concerns about unrest in North Africa have now migrated to the Gulf, albeit in the smaller countries like Oman and Bahrain. "The fear is that there will be a ripple effect into other GCC (Gulf) countries, so there's a lot of panic selling." The price of Brent crude rose towards $116 a barrel on Wednesday, with CMC Markets analyst Michael Hewson warning that it could hit $120 within the next few days. The gold price, at $1,434.45 on ounce, is almost at a record high, while silver, at $34.74 an ounce, is at its highest since early 1980. ------------------------------------ Post message: prole...@egroups.com Subscribe : proletar-subscr...@egroups.com Unsubscribe : proletar-unsubscr...@egroups.com List owner : proletar-ow...@egroups.com Homepage : http://proletar.8m.com/Yahoo! Groups Links <*> To visit your group on the web, go to: http://groups.yahoo.com/group/proletar/ <*> Your email settings: Individual Email | Traditional <*> To change settings online go to: http://groups.yahoo.com/group/proletar/join (Yahoo! ID required) <*> To change settings via email: proletar-dig...@yahoogroups.com proletar-fullfeatu...@yahoogroups.com <*> To unsubscribe from this group, send an email to: proletar-unsubscr...@yahoogroups.com <*> Your use of Yahoo! Groups is subject to: http://docs.yahoo.com/info/terms/