Business

The Iran War Is Hitting Gulf Markets, Lifting Israel and Shifting Risk Across the Region

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For years, investors treated the Persian Gulf as a bastion of calm in a deeply unstable region. Oil wealth and careful diplomacy kept turmoil at arm’s length. Wars raged in Gaza, Israel, Syria and Lebanon—far from glitzy Dubai.

Now, markets are repricing risk across the region. The war with Iran—which has grounded flights, stranded tankers and put cities such as Dubai and Qatar’s Doha under bombardment—is forcing investors to recalibrate their perception of the region’s stability.

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