Markets are already beginning to trade as if the Iran conflict will de-escalate — even though there is no formal resolution yet, says the CEO of one of the world’s largest independent financial advisory and asset management organisations.
Recent geopolitical developments involving Iran have heightened market sensitivity to oil prices, inflation, and interest rate expectations, according to Lale Akoner, Global Market Analyst.
One week after the United States and Israel launched military strikes on Iran, plunging the Middle East into turmoil, President Donald Trump faces mounting questions over whether early battlefield gains can translate into a durable geopolitical victory, say experts.
The future of the Saudi heavy construction equipment market appears promising, driven by ongoing government initiatives and urbanisation trends. Under its Vision 2030 initiative, the kingdom aims to invest over $500 billion in mega housing and urban development projects, thus driving demand for advanced machinery, said a report.
The UAE’s real estate market is one of the Gulf’s most resilient markets and is able to absorb geopolitical shocks thanks to its diversified investment base and openness to global capital flows, according to an expert.
Investors must prepare now for higher interest rates due to the escalating Iran conflict, warns the CEO of one of the world’s largest independent financial advisory organisations.
The gravity of the situation in the Middle East has moved from high to severe and consequently, the potential for events to weaken credit quality across sectors has increased, says an S&P Global Ratings report.
The ongoing conflict in the Gulf and severe disruption to shipping through the Strait of Hormuz are beginning to weigh heavily on the region’s construction sector, with contractors facing mounting cost pressures, delivery delays and heightened financial risk.
Escalating tensions in the Middle East have sent shockwaves through global markets, pushing oil and gold sharply higher and raising questions on near-term outlook for regional equities, said a financial expert. Brent crude surged by 13% to $82 a barrel driven by fears of disruption in Strait of Hormuz.
Iran’s retaliatory strikes across the Gulf have disrupted some business activity in one of the world’s most trade-dependent regions, forcing temporary airport closures, interrupting port operations and unsettling financial markets , while the private sector remains resilient according to authorities.