9/11 Bill Crashes Saudi Stock Exchange, Bond Market Ambitions

Oil Price ^ | 28 September 2016 | Nick Cunningham

[Lorianne]

With oil prices continuing to languish below $50 per barrel, the major oil producers in the Middle East are seeing their financial positions deteriorate. To plug the gap in the government budgets, the Gulf States are having to turn to the international bond markets.

Saudi Arabia plans on taking out $10 billion to $15 billion in debt from international financial markets, but a controversial piece of legislation passed by the U.S. Congress could complicate Saudi Arabia’s plans.

Congress passed a bill that would allow the victims of the September 11, 2001 attacks to sue Saudi Arabia for its potential involvement. President Obama opposes the legislation for fear of damaging America’s relationship with Saudi Arabia, but the U.S. Senate, with huge levels of support, overrode the president’s veto.

The issue is rattling confidence in a crucial strategic and economic alliance between the U.S. and Saudi Arabia. Riyadh has threatened to sell off U.S. treasuries if the bill moves forward. As the veto override vote has worked its way through the Senate, Saudi Arabia’s currency plunged to its lowest level in four months, and its stock market “lost the most in the world for a second straight day,” The 9/11 bill could interrupt Saudi Arabia’s plans for a bond offering, but it probably won’t derail the effort. The potential rift between the Washington and Riyadh probably won’t be a deal-breaker for Saudi Arabia’s plans for new debt issuance.

“It is simply a matter of when, not if, Saudi Arabia decides to tap the international debt capital markets," Chavan Bhogaita, head of market insight and strategy at National Bank of Abu Dhabi PJSC, told Bloomberg. “This doesn’t change the fact that Saudi Arabia needs to raise a substantial amount of cash through the bond markets.”

[Mjreagan]

Hahahaha!!!! Burn!

[left that other site]

If the KSA did not anticipate huge judgements against them due to their collusion with the terrorists being proven in open court, in other words, if they were innocent and confident of that fact, it would not have affected the market. Their panic at the news that some people MIGHT sue them is quite telling.

[angcat]

In a just society we would have nuked Saudi Arabia instead of sued?

[MrBambaLaMamba]

Kismet - The Will of Allah

[Trump_vs_Evil_Witch]

Will the Saudis want their money back from the Hillary for President Campaign?

Will the Muslim Brotherhood be forced to layoff their spy, Huma Abedin?

Will Obama have to look elsewhere to support ISIS in Syria?

[Oldexpat]

Couldn’t happen to nicer people.

[vette6387]

“In a just society we would have nuked Saudi Arabia instead of sued? “

There’s still time! But the “Royal $hit Family” there is concerned. Once their finalcal house collapses, the people, not being paid for sitting on their collective a$$Es, will most likely take to the streets and execute all of the “Fat Freddies” in the House of Saud. LIfe has a habit of coming around eventually.

[Oldexpat]

They will all fly out to Switzerland before loosing their heads. During the first gulf war they were all encamped in Geneva.

[mountainlion]

They have a poison pill of stocks and bonds that can be used to take us down also thanks to our corrupt government.

[mrsmith]

China would love to invest there, and SA will sell their US bonds for Chinese.
The West just has no use for the Middle East.

[arthurus]

Economic war should be instituted against Moslem countries, all Moslem countries.Jihad has two necessary bases, the "religion" itself and the resources to carry it out. Historically the Islamic project has sustained itself by conquest. Moslem societies cannot produce enough wealth to sustain themselves beyond bare subsistence. They must expand and export excess population to other countries. When Islam has been contained and kept impoverished it does not expand and conquer. When it has resources beyond sufficient to keep a tiny elite in opulence and the rest of the population at bare subsistence then it wages jihad against its neighbors.

Historically conquest and booty has sustained further conquest. In the modern world the Infidel societies have been eager to promote Jihad by showering the Moslem world with resources. The West did not have to give the arabs the oil the West had discovered and was extracting in the ME. That oil is ultimately the basis of all the disuption and death now emanating from there.

[Buttons12]

Somebody b-slapped the Saudis? Wow.

[Grampa Dave]

Kick the Opecker Princes and kick them again.

[Mjreagan]

Mecca, Medina, and Riyadh

[Man from Oz]

Tough $hit to those boy loving, goat humping 12th century savages. 99% of all the musloid issues arise from there.

[proud American in Canada]

As Mr. Burns would say, “Excellent...”

[joshua c]

Has anyone asked Hillary if she agrees with the bill?

[gaijin]

It makes sense that they have acted with such brazenness over the years because for so long there were ZERO negative consequences for them.

This HELPS THEM and the world.

[Buckeye Battle Cry]

Will the Saudis want their money back?

You raise a great point. If Hillary loses the long knives will come out from the House of Saud and every other regime that had pre-paid for access to an Administration that will never be.