Introduction 1- Most Gulf stock markets declined as Iran escalated its attacks in the region

Tadawul All Shares Index -0.07%

Tadawul All Shares Index

TASI.SA

11268.38

-0.07%

To update the index movement and add two more markets

- Most major Gulf stock markets fell in early trading on Thursday, with Dubai's index leading the losses, as Iran escalated attacks on Middle East oil and transport infrastructure, raising concerns that the conflict could be prolonged.

Iran warned that oil prices could reach $200 a barrel and said the world should prepare for it, after its forces attacked commercial vessels on Wednesday. Meanwhile, the International Energy Agency called for the release of significant amounts from strategic reserves to mitigate what could be one of the worst oil price shocks since the 1970s.

Dubai's main index fell 2.8 percent, pressured by a 4.9 percent drop in shares of Emaar Properties and a 3.5 percent decline in shares of Emirates NBD, the country's largest bank.

A military spokesman in Tehran said on Wednesday that Iran would target US and Israeli economic and banking interests in the region following an attack on an Iranian bank.

The United Kingdom Maritime Trade Operations (UKMTO) announced on Thursday that an unidentified projectile struck a container ship, causing a small fire, 35 nautical miles north of Jebel Ali port in the United Arab Emirates.

In a separate incident, authorities in Dubai said a drone crashed into a building in the Dubai Creek Harbour area.

Abu Dhabi's main index fell 1.7 percent, with Aldar Properties shares dropping four percent and Abu Dhabi Commercial Bank five percent.

Reuters reported on Wednesday, citing sources, that Citigroup and Standard Chartered have asked their employees in Dubai to work from home after the start of office evacuations, as the banks deal with Iranian threats to target US- and Israeli-linked banking interests in the Gulf.

Qatar's main index fell 0.8 percent, with shares of Qatar National Bank, the largest Gulf bank by assets, dropping 1.5 percent.

Saudi Arabia’s main index rose slightly by 0.2 percent, supported by a one percent rise in shares of oil company Aramco.

By 0354 GMT, Brent crude futures were at $100.52 a barrel, up $8.54 or 9.28 percent.

The Saudi Ministry of Defense said on Thursday that it had intercepted a drone heading towards the Shaybah oil field, in the third such incident to be announced in a single day.