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The US airstrike on Sunday targeting three key Iranian nuclear facilities and President Donald Trump’s warning that Tehran would face “more destructive attacks” if it refuses to comply with the nuclear deal have so far had a limited impact on regional financial markets.
Most Gulf stock exchanges, which are open on Sundays, recorded gains following the strike. Israel’s stock market surged over 4%, reaching an all-time high.
Saudi Arabia and Kuwait each rose by 0.40%, Egypt climbed 2.35%, and Qatar edged up 0.15%. Only Oman saw losses, declining 0.31%.
In contrast, cryptocurrencies—often considered riskier assets—declined notably. Bitcoin fell 1.14% on Saturday to close at $102,140 and has since hovered near $102,500 as investors search for stability.
Ethereum saw a sharper drop, losing 4.65% to $2,295 on Saturday, followed by an additional 1.5% decline to $2,265 during Sunday trading.
Market focus now shifts to oil prices as overnight trading resumes. Analysts expect an initial rise in prices, potentially testing the $80-per-barrel level.
Critical factors include Iran’s response and developments around the strategic Strait of Hormuz.
These uncertainties could elevate market tensions, prompting shifts from risky assets toward safe havens.
Overall, despite the military escalation, regional financial markets have shown resilience, but investors remain cautious amid geopolitical risks.
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