Market Overview

Nomura Analyst Comments On Yemen's Looming Threat To Regional Stability


Alastair Newton of Nomura commented in a note on Tuesday that last week's resignation of the government in Yemen may “accelerate what appears to be an increasingly rapid slide towards failed statehood.”

Newton suggests that Saudi Arabia may worry about this from the perspective of what it sees as a further manifestation of Iran's regional aspirations, the oil-producing country will also be concerned about Al-Qaeda in the Arabian Peninsula (AQAP) “exploiting the power vacuum.”

The analyst also states that the related security concerns (including maritime) are “not purely regional,” as the Charlie Hebdo attack makes clear.


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