Persian Gulf bourses close lower on Monday as Iran-US hostilities escalate

Most stock markets across the Persian Gulf closed lower on Monday, 20 July (29 Tir), as military tensions between Iran and the United States escalated and Tehran claimed it had sealed the Strait of Hormuz. Higher oil prices and renewed global inflation fears added to selling pressure on regional exchanges.

Saudi Arabia's benchmark Tadawul index eased 0.2 percent, with oil giant Saudi Aramco down 1.1 percent. Dubai's main index fell 0.4 percent, as lender Emirates NBD and budget airline Air Arabia each lost 1.1 percent. Abu Dhabi's index slipped 0.3 percent, with Abu Dhabi Islamic Bank down about 1 percent.

Because the region's economies depend heavily on oil exports and sit along the Strait of Hormuz, Persian Gulf bourses are among the markets most sensitive to developments in the Iran-US conflict.