Tensions in the Persian Gulf where Egypt, Saudi Arabia, the United Arab Emirates and Bahrain have announced the end of diplomatic relations with Qatar, push the price of oil on international markets. Texas WTI crude rose 1,6% to $48,46 a barrel while Brent crude rose 0,6% to $50,56 on Monday morning around 9 am.
The Qatar Stock Exchange sinks. At launch, the general market index dropped 5,7%. The markets of other countries in the area such as the Emirates (-0,78%), Saudi Arabia (+0,93%) and Oman (-0,12%) did not move much.
Qatar accused: "It supports terrorism". Egypt, Saudi Arabia, the United Arab Emirates and Bahrain have announced the end of diplomatic relations with Qatar. Moreover, in addition to the closure of diplomatic relations, it is a real geographical isolation of the small state that will host the 2022 World Cup: Saudi Arabia has also announced the closure of its land border, the only one that connects Qatar with the world. While all the countries that have aligned with Riyadh have also communicated the suspension of their sea and air links with Doha.
The move by the four Arab nations deepens the division among the Gulf countries over Qatari support for Islamic groups. L'Saudi claims that Qatari troops would be pulled by the ongoing war in Yemen, while the Bahrain accuses Qatar of "supporting armed terrorist activities and financing linked to Iranian groups". Even the internationally recognized government of the Yemen, led by President Abd Rabbo Mansur Hadi, announced the rupture of diplomatic ties with Qatar, accusing it of supporting the Shiite Houthi rebels, close to Iran. The government of Hadi, near Riyadh, is based in the southern city of Aden. The Yemeni capital Sanaa has instead been occupied by the Houthis for almost three years.
Bahrain, Egypt, Arabia and the Emirates announced the withdrawal of their diplomatic staff from Qatar, a nation rich in gas and which will host the 2022 World Cup. The four Arab nations have also announced their intention to cut air and sea traffic to the peninsular country.
Etihad airline has announced it will suspend flights to Qatar: the decision follows the halt of diplomatic relations with Qatar by Egypt, Saudi Arabia, the United Arab Emirates and Bahrain. A verdict to which the Qatari state responded with the closure of Qatar airlines flights in the countries concerned.
(updated at 12,30)
