The decline was so large when the Stockholm stock exchange opened on Monday morning that the entire year's stock market gain in Stockholm has now been erased, according to major media reports. All companies on the OMXS30 index are in negative territory, said Carl-Henrik Söderberg, a savings economist at Nordnet. The war in Iran is causing oil prices to surge, and Iran has nearly closed the Strait of Hormuz, where large amounts of oil are normally shipped.
The exact percentage decline in the Stockholm stock exchange is not specified. According to Söderberg, it is a significant decline, but should also be seen as logical given the uncertain situation. He stated that the situation is serious, considering the impact it can have on energy prices.
This could have major economic consequences if it persists, but if the Strait of Hormuz reopens, he does not think it needs to get much worse. Söderberg noted that oil companies are the big winners from rising oil prices. At the same time, stocks sensitive to economic development are falling in value, causing people to move assets.
He added that we see money moving from the stock market to buying gold or other things. It is unknown what specific events triggered the war in Iran or how long the Strait of Hormuz has been nearly closed.