Following Friday’s US weakness and UAE’s hint that $40 oil is coming next, the crude carnage continues as Middle East markets are crashing. As WSJ reports, the bearish direction of oil prices again spooked investors in Dubai where the DFM General Index finished down 7.6%, extending Thursday’s 7.4% rout. The bloodbath extended across the entire region with Abu Dhabi down 3.6%, Qatar slid 5.9%, Kuwait fell 2.9%, and Saudi Arabia’s market, the largest bourse in the region, retreated 3.3%.
Bloodbath-ing…
As one analyst warned:
“the severity of this decline could very well
be explained by investors covering margin calls as leverage was used on
the way up over the past year.”
And shows no signs of stopping
Charts: Bloomberg
via Zero Hedge http://ift.tt/1zb3JNu Tyler Durden