Markets around the world saw indiscriminate selling of stocks linked to the Middle East and many financial stocks following news of Dubai World’s unexpected standstill on much of its $59bn of debt. Amid a religious holiday in the Middle East, a conference call for bondholders of Dubai World subsidiary Nakheel collapsed after callers swamped phone lines. Nakheel is due to redeem a $3.5bn bond next month. On Thursday, the bonds traded just above 70 cents on the dollar and almost 40 below their 109 redemption price. See FT.com’s in-depth report and FT Alphaville.

This entry was posted by Gwen Robinson on Friday, November 27th, 2009 at 5:00 and is filed under Capital markets. Tagged with dubai world, Nakheel. Edit this entry.