From Atiq Sharif

July 12 (Reuters) - Most Gulf stock markets declined at the close of trading on Sunday amid a heavy exchange of missile and drone strikes between U.S. and Iranian forces, after Tehran again announced the closure of the Strait of Hormuz and targeted U.S. facilities in several Gulf countries.

The wave of attacks exchanged between the United States and Iran over the past few days prompted US President Donald Trump to declare the end of the ceasefire between the two sides, but he indicated the possibility of resuming talks.

This escalation followed attacks on commercial vessels in the region. Iran announced it had closed the strait after firing a warning shot at a ship sailing in an unauthorized course, and reported on Sunday that it had taken a second vessel out of service.

The Saudi index rose 0.1 percent, supported by a 0.2 percent increase in shares of oil giant Saudi Aramco.

Five informed sources reported that the Kingdom is considering expanding the capacity of the crude oil pipeline leading to the western Red Sea coast, which would enable it and possibly neighboring countries to transport more oil without crossing the Strait of Hormuz.

In Qatar, the main index rose 0.1 percent, with shares of petrochemicals firm Industries Qatar climbing 0.6 percent.

The Amiri Diwan announced today that the former Emir of Qatar, Sheikh Hamad bin Khalifa Al Thani, has died at the age of 74. His leadership of the Gulf state helped solidify its position in the region.

Outside the Gulf region, Egypt's blue-chip index fell 0.1 percent, dragged down by a 0.6 percent drop in shares of Talaat Moustafa Group Holding.

Central bank data released today showed that Egypt's current account deficit more than doubled to $5.1 billion in the January-March quarter, from $2.3 billion in the same period a year earlier.

In Bahrain, the main index rose 0.1 percent to 2011 points.

The index in Oman rose by the same percentage to 7652 points.

In Kuwait, the main index fell 0.1 percent to 9,082 points.