Most Gulf stock markets were subdued in early trade on Monday as stalled US-Iran diplomacy revived fears of a prolonged Middle East conflict, while reduced traffic through the Strait of Hormuz added to concerns over energy supplies and trade flows, Reuters reports.
Tensions remained high after Iran on Saturday urged Washington to “accept defeat,” while US President Donald Trump called Tehran “very evil” and urged Americans to prepare for sustained high fuel prices.
With no meaningful progress towards peace talks, shipping through the strategic waterway remained severely disrupted. Trump also said he would soon declare the Strait of Hormuz a U.S. territory.
