Continued disturbances in the MENA region influences pace of global economic growth

What impact will Middle East unrest have on markets?

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Baldwin Berges, Silk Invest
Unrest in North Africa and the Middle East has already had an impact on markets. The oil price is at an all-time high as a direct result of the removal from the world market of 1.8 million barrels a day of Libyan oil, about 1.5% of global supply. Yields in the Gulf Co-operation Council (GCC) states have also backed up and equity markets have fallen on the back of local investor selling. The reaction in credit default swap (CDS) spreads has, however, been more measured.