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Saudi Stocks Plunge Amid Houthi Claims of Missile Strikes on Riyadh

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Saudi Arabia's stock market fell sharply on Sunday after Yemen's Houthi rebels claimed they launched missile and drone strikes against the Saudi capital, Riyadh.

The attacks, which occurred a day earlier, targeted 'sensitive' areas near Riyadh's main airport, according to the Houthis. The incident has escalated tensions in the region, adding another front to the broader conflict sparked by US and Israeli strikes on Iran in late February.

Saudi Arabia's benchmark index closed 0.3% lower, with ACWA Power Co experiencing a significant drop of 2.8%. However, oil major Saudi Aramco managed to close 1.3% higher after initially falling in early trade.

The confrontation has sparked concerns about investor confidence, but Daniel Takieddine, co-founder and CEO of Sky Links Capital Group, suggests that US President Donald Trump's meeting with Gulf leaders this week could provide meaningful de-escalation signals to support market sentiment.

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