trump gaza — trump gaza — Stock markets, particularly in the Middle East, are set for a potential rally if the Trump-backed agreement brings lasting peace to the Gaza region. Nigel Green, CEO of deVere Group, highlighted that a successful implementation of the deal could signal a significant shift in investor sentiment.
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“Should the agreement hold and bring stability to the region, it could ignite a considerable rally,” Green stated, identifying sectors poised for growth. Middle Eastern equities, global energy stocks, and firms in construction and infrastructure stand to benefit notably, as financials and logistics also move sharply higher.
The market has been conditioned to price in war risk for the past two years. If the Trump-brokered deal marks a credible path to lasting peace, Green believes that the associated risk premium will collapse. “Capital will flood back into markets that have been sitting in a holding pattern,” he remarked.
On Thursday, regional indices showed early signs of optimism. The Dubai Financial Market climbed approximately 1%, while Abu Dhabi’s exchange rose alongside a more than 1.5% advance in Saudi Arabia’s Tadawul. “These are early moves, but they demonstrate how markets behave when geopolitical clouds start to clear,” Green explained.
The UAE, Saudi Arabia, and Qatar are expected to lead this potential rally, buoyed by their fiscal surpluses and sovereign wealth capital ready for redeployment. The energy sector, too, stands to gain, albeit in a different manner. A sustained ceasefire could narrow the geopolitical risk premium in oil, initially tempering prices. However, lower volatility and predictable supply would enhance the energy sector’s appeal.
Green pointed out that refiners, pipeline operators, and renewables developers tied to Gulf diversification plans could see strong inflows. The most significant upside is anticipated in infrastructure, construction, and financial services. “If this agreement triggers real reconstruction efforts, there will be enormous demand for capital, materials, and project management,” he noted. Cement producers, steel firms, engineering companies, and banks financing regional rebuilding are set to experience a surge in activity.
“It could become the single largest reconstruction investment drive since the early 2000s,” Green asserted, emphasising the broader implications of peace in the region. He argued that this peace dividend is likely to cascade across other emerging markets as well, with stability in the Middle East enhancing global confidence.
<p“As geopolitical tension fades, we’ll see emerging-market bonds compress in yield,” he added. Asian and European markets tied to energy, construction, and shipping are also expected to rally as risk appetite strengthens. The timing of the deal further amplifies its potential impact, especially as markets are already buoyed by expectations of additional US rate cuts.
Green elaborated, “Layer a peace framework on top of that and you have the perfect cocktail for a risk rally.” He anticipates that cash-heavy institutional investors will swiftly rotate out of safe assets into equities, sovereign bonds, and high-yield plays. This shift in investor psychology is significant; for the first time in years, peace in the Middle East could be seen as an investable event.
<p“As the narrative flips from conflict management to growth acceleration, we expect energy infrastructure, transport, and logistics firms to be among the first to move,” Green predicted. Subsequently, banks, insurers, and capital markets across the GCC are likely to attract inflows as they become financing hubs for a reconstruction-led cycle. Industrials and materials will follow as tenders roll out, with even consumer stocks poised to benefit from a rebound in confidence and regional tourism.
However, Green cautioned that the durability of the peace process will be crucial. “Investors will reward verified progress—ceasefire enforcement, reconstruction financing, and diplomatic continuity. If those appear credible, the rally could extend for quarters, not days.” He concluded that a successful, Trump-backed peace deal would not only lift regional sentiment but could also reshape global investment priorities, with markets ready to move the moment peace appears tangible.
