Dubai stocks retreated as an increase in risk perception steaming mostly from Saudi Arabia’s anti-corruption purge and a deepening feud with Iran over the past weekend. The emirate’s benchmark is set for its worst week in almost two years, when Brent crude plummeted to the lowest level in more than a decade. The drop is the steepest among major gauges in the Middle East.
Dubai stocks haven’t been this cheap compared to emerging market peers since January 2016, according to Bloomberg. Increasing risk aversion toward the Middle East pushed the emirate’s benchmark index down 5.7% so far this week, widening the gap between estimated earnings in the next year for stocks in Dubai compared to the MSCI Emerging Markets Index.
Dubai stocks retreated as an increase in risk perception steaming mostly from Saudi Arabia’s anti-corruption purge and a deepening feud with Iran over the past weekend. The emirate’s benchmark is set for its worst week in almost two years, when Brent crude plummeted to the lowest level in more than a decade. The drop is the steepest among major gauges in the Middle East.
Dubai stocks retreated as an increase in risk perception steaming mostly from Saudi Arabia’s anti-corruption purge and a deepening feud with Iran over the past weekend. The emirate’s benchmark is set for its worst week in almost two years, when Brent crude plummeted to the lowest level in more than a decade. The drop is the steepest among major gauges in the Middle East.