Gulf stock markets sag as oil price dips below $30
The growing fears of slowing growth and continued oil price volatility have triggered a downward slide on Thursday again in Gulf stock markets with all most of them closing in negative territory after seeing heavy sell-off.
Bourses in Saudi Arabia, Egypt and Dubai made the worst losses in the region after foreign investors sold off major stocks.
The fears of Iran flooding oil market, which is already hit with over supply, dragged down oil to plunge to the lowest level in more than a decade.
The International Atomic Energy Agency on Friday is expected to confirm Tehran has given up its nuclear ambitions as promised to world powers to clinch a deal in July last year in exchange for lifting of sanctions which will enable Iran to increase its oil production and exports
The global benchmark Brent crude dipped to $29.73 a barrel, its lowest since February 2004, before rebounding to stand at $30.51 a barrel.
EGX 30 Index on the Egyptian Exchange was down 5.6 per cent at 5,857.7 points while Saudi’s Tadawul All Share Index plummeted 3.7 per cent to close at 5,816.01 points.
Dubai tumbled 3.6 per cent with Arabtec making the biggest lose during the day as its shares went down 9.4 per cent. Amlak Finance she 8.7 per cent while developer Emaar Properties was down 5.8 per cent.
Qatar stock exchange dropped 2.3 per cent to close at 9185.12 points, down from the previous day’s 9405.38 points.
Abu Dhabi’s general index fell 1.6 per cent. Arkan Building Materials Company and National Marine Dredging Company made the maximum losses on the bourse.