“Although the Gulf States didn’t join the U.S. in its attack on Iran, they are now on the receiving end of retaliatory attacks from Iran,” said Adriana Alvarado, senior vice president for Morningstar global sovereign ratings. “The overall economic impact on the Gulf economies will largely depend on the length and severity of the disruptions to air travel and to traffic on the Strait of Hormuz. But no doubt that whatever the outcome of the current confrontation, political developments in Iran will have lasting consequences for the whole Middle East region.”
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