Middle East Stock Markets Fall as Israel-Iran Tensions Grow

BY THE ARAB TODAY Jun 16, 2025

Middle East Stock Markets Fall as Israel-Iran Tensions Grow
Image Credit: Forbes Middle East

Middle East Stock Markets Fall as Israel-Iran Tensions Grow

Middle Eastern stock markets ended lower on Sunday, as rising tensions between Israel and Iran raised worries about a bigger conflict in the region.

Stock Markets

Stock markets in the Gulf and nearby regions fell sharply after Israel launched airstrikes on Iran’s nuclear and energy sites, and Iran responded with missile attacks. This caused investors to worry.

In Saudi Arabia, the main stock index (Tadawul All-Share Index) dropped by 1.01% on Sunday, ending at 10,731.6 points. The fall was mainly due to regional tensions and weaker banking stocks. Al Rajhi Bank lost 1.5%, and Saudi National Bank dropped 3.1%. So far this year, the Tadawul index is down 11.1%.

Qatar’s stock market index (QSI) fell by 3.2% — its biggest fall since April. Qatar National Bank dropped 4.2%, and Qatar Gas Transport (Nakilat) fell 3.3%, with worries about problems at the South Pars gas field, which is shared with Iran.

In Kuwait, the stock market dropped 4.6%. Kuwait Finance House fell 3.7%, and Jazeera Airways sank 18.4% as airlines changed their flight paths.

Egypt’s EGX 30 Index fell 4.62%, ending at about 29,582. It had been at 31,016, reducing its gains for the year to just 4.3%. Commercial International Bank dropped 4.3%. In Jordan, the Amman Stock Exchange fell 1.5%, ending at 2,635.25.

Regional Instability

The drop in stock markets came after Israel attacked Iran’s nuclear and military sites on June 12, killing top Iranian military leaders. In response, Iran fired many missiles at Israel over the weekend. Explosions were reported in cities like Tel Aviv and Jerusalem, and videos online showed bright flashes in the sky and people running for cover.

Iran also canceled planned nuclear talks with the US, raising fears of more conflict.

Israel said its airstrikes were meant to stop Iran from developing nuclear weapons. Iran claims it is not trying to build a bomb, but Western experts say Iran is getting closer to that goal through uranium enrichment and missile development.

These attacks have increased fears of a larger war that could involve other countries, disrupt flights, affect oil shipping routes, and hurt global trade.

Published: 16th June 2025

For more article like this please follow our social media Twitter, Linkedin & Instagram

Also Read:

PRYPCO Mint Launches 2nd Token After Dubai Debut Success
Egypt Denies Red Sea Land Rumors, Affirms Full Ownership
Gold Up Amid Middle East Tensions and Weaker US Dollar


Business
E-Commerce in the Middle East: Trends, Opportunities and Challenges in 2027

Consumers are using their smartphones to learn about things, compare prices, make payments and get deliveries. Businesses are investing in online marketplaces,…

UAE
Why the UAE Remains a Major Hub for Global Business and Tourism

The United Arab Emirates (UAE) has established itself as one of the world's most important destinations for international business, investment, and tourism.…

Travel
Step by Step Guide: How to Apply for a Passport in Turkey?

Step-by-Step Guide: How to Apply for a Passport in Turkey? Planning to travel abroad for a holiday, education, business, or a family…

Gulf News
12 Side Hustles You Can Start in the UAE While Working Full-Time

Building an additional income stream while working full-time is becoming an attractive goal for professionals across the United Arab Emirates (UAE). Whether…

Egypt, Travel
Step by Step Guide: How to Apply for a Passport in Egypt?

Step-by-Step Guide: How to Apply for a Passport in Egypt? Applying for an Egyptian passport is an important step for Egyptian citizens…