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Major stock markets in the Gulf fell in early trade on Tuesday after fresh attacks by Iran and the United States in the Gulf deepened the struggle for the Strait of Hormuz, a key global energy chokepoint, shaking an already fragile truce.
Washington is pushing to reopen the Strait of Hormuz to ease the severe strain on global energy supplies after Iran largely shut the passage following the start of the war with the U.S. and Israel on February 28.
After reported Iranian drone and missile attacks across the UAE, including one that sparked a fire at the key oil port of Fujairah, the UAE said the strikes marked a serious escalation and that it reserved the right to respond.
Fujairah has been critical to UAE oil exports during the Iran war as it sits at the end of the Abu Dhabi Crude Oil Pipeline, which carries crude from inland fields to the Gulf of Oman, bypassing the Strait of Hormuz.
Dubai's main share index dropped 1.5%, dragged by a 2.2% slide in toll operator Salik Company and a 1.8% retreat in blue-chip developer Emaar Properties .
Elsewhere, budget airline Air Arabia lost 2.8%.
In Abu Dhabi, the benchmark index declined 0.7%, with Aldar Properties falling 2%.
UAE authorities on Monday issued mobile phone alerts in Dubai and Abu Dhabi warning of the possibility of missile attacks.
Meanwhile, the UAE's non-oil private sector expanded at its slowest pace since February 2021 in April as the Iran war hammered shipping and tourism, hitting sales and exports alike, a survey showed on Tuesday.
Saudi Arabia's benchmark index lost 0.4%, with Al Rajhi Bank falling 0.5% and Saudi Arabian Mining Company declining 1.1%.
Brent oil futures for July fell 51 cents, or 0.5%, to $113.93 per barrel at 0622 GMT after settling up 5.8% on Monday.
The Qatari index was down 0.4%.
(Reporting by Ateeq Shariff in Bengaluru; Editing by Lincoln Feast and Janane Venkatraman)





















