Overview
- Iranian missile and drone barrages continued into Tuesday, with the UAE reporting hundreds intercepted, debris damaging the Burj Al Arab and striking Dubai International Airport, which is running only limited flights.
- Retail operations remain constrained: Kering kept boutiques shut in the UAE, Kuwait, Bahrain and Qatar and halted regional travel, while Chalhoub ran voluntary staffing, reopened Bahrain Tuesday and reported thin teams in UAE malls.
- After blanket weekend closures, most major stores in the UAE and Saudi Arabia were operating by Tuesday, with Kuwait and Qatar reopening later, even as governments urged remote work and travel stayed difficult.
- Investors sold off luxury names for a second session, with LVMH, Kering, Hermès, Richemont, Moncler and others down 3% to about 10% this week as global indices fell and oil rose.
- The Middle East generates roughly mid‑single‑digit shares of luxury sales, heavily tied to tourism, and analysts warn a prolonged conflict—compounded by flight cancellations, war‑risk costs and shipping snarls through the Strait of Hormuz—could weaken demand; President Trump said the operation may last four to five weeks.