Gulf Stock Markets Fall After Iran Strait Closure
Part of composite article Oil Giants Bypass Strait of Hormuz as Iran War Threatens 20% of Global Supply View full article →
Major Gulf stock exchanges closed lower on Monday. The decline followed renewed tensions between the United States and Iran, and the closure of the Strait of Hormuz.
The strait is a narrow waterway in the Middle East. About 20% of the world’s oil passes through it. Its closure pushed oil prices higher.
Higher oil prices raise fears of new global inflation. Inflation means the cost of goods and services goes up. This worries investors and can slow economic growth.