Qatar assets pile up losses amid tension

Dubai

INVESTORS in Qatari stocks, bonds and currency forwards were unexpectedly saddled with losses last week as the country was thrust into the epicentre of an unprecedented spat with its neighbours.

The country's stock market shrank by about US$11 billion in value on Tuesday, the most since 2010, after Middle Eastern countries including Saudi Arabia and the United Arab Emirates cut ties with the Gulf nation. The country's most liquid bonds tumbled during the week as its sovereign rating was cut and bets against its currency surged. Contracts to protect against a potential default are now at a higher level than those of Peru and Slovenia.