Mideast Stocks Decline After Oil Sinks to Seven-Year Low - Bloomberg Business

Mideast Stocks Decline After Oil Sinks to Seven-Year Low - Bloomberg Business:

"Almost every Middle Eastern stock index declined after oil, the region’s main source of income, sank to the lowest in seven years, damping the outlook for government spending.
Dubai’s DFM General Index ended its longest winning streak in almost three months. The gauge decreased 1.5 percent, the most in a week, to close at 3,026.05. Emirates NBD PJSC’s 4 percent retreat was the biggest contributor to the decline. The Tadawul All Share Index in Saudi Arabia lost 1.6 percent, also the most in seven days, as of 2:24 p.m. in Riyadh. The kingdom boosted its crude exports in October.
The retreats reflect the crunch countries in the Gulf are feeling as the plunge in oil curbs government revenue. Kuwait and Qatar said they will issue debt to cover rising budget deficits, even as bank liquidity is drying up and some central banks in the region raise borrowing costs in line with the Federal Reserve. The six-member Gulf Cooperation Council, which includes Saudi Arabia and the United Arab Emirates, is home to about 30 percent of the world’s oil. Saudi Arabia, the Arab world’s biggest economy, may announce next year’s budget this week."



'via Blog this'