Skip to content Skip to footer

Markets React to Missile Strike on Jeddah, The EU and U.S. Data Sharing Pact & Spotify Shares Falls After Suspending Russian Services

Gold & oil prices gain following Missile strike on Jeddah

Gold and oil prices surged on Friday, as markets reacted to the news that there was an attack on Saudi Aramco’s facilities in Jeddah. 

Reports claimed that missiles and drones were fired at the facilities, near the port city, resulting in huge explosions.

A Yemeni based Houthi group took responsibility for the attacks, which came days before a Formula One event was to be held in Jeddah.

💡 The origin of the Houthi-Saudi Arabian Conflict
The Houthi–Saudi Arabian conflict is an ongoing armed conflict between the Royal Saudi Armed Forces and Yemeni Houthi forces that has been taking place in the Arabian Peninsula, including the southern Saudi regions of Asir, Jizan, and Najran, and northern Yemeni governorates of Saada, Al Jawf, and Hajjah.

Following the attack, Saudi Arabia refused to bear responsibility for any global oil shortages, as a result of the attacks on its oil facilities.

WTI crude hit a high of $115.74, whilst XAUUSD peaked at $1,964 for the day.

Meta marginally higher, following U.S./EU data transfer pact

Meta was trading marginally higher on Friday, as it was reported that the EU and U.S. had agreed on a new data sharing pact.

Several huge tech companies in the U.S. the likes of Meta and Google, were considering their options in Europe, as both were uncertain about how changes in legislation would affect data flows.

Today’s pact will see the formation of a new framework for cross-border data transfers, which will replace the old “privacy shield”.

Speaking on Friday, President Biden said that “This framework underscores our shared commitment to privacy, to data protection, and to the rule of law”.

Both Meta and Google shares were higher on the news.

Spotify shares fall, as company suspends its services in Russia

Shares in Spotify however fell on Friday, as the streaming giant confirmed its plans to suspend its service in Russia.

In a statement released today, the company said, “Spotify has continued to believe that it’s critically important to try to keep our service operational in Russia to provide trusted, independent news and information from the region”.

They went on to add that, “Unfortunately, recently enacted legislation further restricting access to information, eliminating free expression, and criminalizing certain types of news puts the safety of Spotify’s employees and the possibility of even our listeners at risk”.

Spotify follows the likes of YouTube and Netflix in removing its content from Russia, following its invasion of Ukraine.  

“Learn to take losses. The most important thing in making money is not letting your losses get out of hand.”

-Marty Schwartz.

Eliman Dambell

Senior Market Analyst